First, see if your firmware is up to date.
Go to Settings/System Settings/Info and look at your firmware version. It should be 1.02. 24 or 3.01.16. If it is, skip the next chunk.
If it starts with 1, you have a version 1 player. If it starts with 3, you have a version 2 player. Those are two different pieces of hardware even though they look alike.
Look at this link and use Method 2, way down, to update the firmware. Don’t install the updater (Method 1)–it’s useless now for such an old device.
If your version starts with 1, download the version 1 software, if it’s 3 download version 2.
OK, firmware in place.
All Sansas work alike. There are two ways of getting music onto the player–MSC, which sees the player as a basic flash drive, or MTP, which controls the player via Windows Media Player.
That is set through Settings/System Settings/USB Mode on the player. If it is Auto Detect then it goes to MTP, since you have Windows 7 with Windows Media Player included. WIndows Media Player should be organizing your files if that is what you have been using. It has its own weird, illogical ways of naming things but it can find them that way.
The player lists songs from information in ID3 tags, electronic labels inside the files for Artist, Album, etc. WMP should have those in order.
If you want to start again in a human-readable way, and you have all your music backed up elsewhere, then clean off the device, set it to MSC and do things manually.
Settings/System Settings/Format will wipe your content off the unit.
Change Settings/System Settings/USB mode to MSC. When you connect you will see two disc drives, X: Sansa E200 (or something like that) and Y: Removable disc for the card in the MicroSD slot (whether or not you have one inserted). I’m using X: and Y: as examples–it might be F: and G:, or two other letters.
Drag and drop whatever folders you want onto the unit. You can put them in a Music folder or just drag them onto whatever driveletter the unit is. It actually doesn’t matter to the unit because it finds the music files and reads their tags, whatever folder they are in (except for Audiobooks, Photos and Podcasts, which behave a little differently–don’t put music in those).
The unit should read the tags and organize them by Artist, Album, etc.