I carry plastic grocery bags when I walk my dogs, and I pick up after their leavings. I use the bags like gloves, then turn them inside-out. Sometimes the bags have holes in the bottom from poor manufacturing and I have to be tactical about how I pick things up (thanks, Wal-Mart! The best bags seem to be from Target.) I live in a tropical area with sawgrass, so when I pick up, I always take a little clump of the grass with me so nothing is left behind for anyone to step into. I don't have a compost heap to toss the poop on, so the bag always gets tied up and thrown in the trash.
I have a neighbor who walks with a newspaper and hurriedly throws it under his dog as soon as he notices it squat. It seems to work for him, but I've noticed him miss a few times and have to pick it up using an extra page or two.
Obviously this isn't Envy, where one can vaporize a dog poop with a spray, but are there other ways to pick up after a dog? I feel like I should be somewhat more environmentally friendly about this, like using paper bags, putting starter seeds in the bag and tossing it deep into the woods.