Depends quite a bit on what you want to do.

If you're just looking to control a mail-merge, then DDE is probably the best way to go.

However, if you're looking to create a more sophisticated report using Word as a template, you might also consider using OpenOffice ODT format as an interim step. These are actually just zip files, so if you unzip them using ObjectPAL via a commandline utility, you can get at the text portion pretty easily.

This allows you to create a complex template in OpenOffice with characteristic field markers that you can can process and rewrite with the markers replaced with any fields or data you want.

Finally you rezip up the template as a new file which can be opened in Word or OpenOffice.

It sounds complicated, but it really isn't, and it does free you from the limitations of the Paradox reporting tool.