I have four categories: Pop, jazz, classical, and "other". Within the catagories I go alphabetical (performers for pop and jazz, composers for classical). "Other" is things like seasonal records, novelty records, test records, comedy, and anything else that I can't fit into pop, jazz, and classical. I also have a section of "current" interests, which includes new recordings and stuff that I have queued up for listening.
If I know what I am looking for, this system makes it easy to find. More often than not, though, I'll just browse through the collection and pull out whatever catches my eye. That's where the genre classification helps out. Usually I have a dozen or so records ready in the "current" section, so I go to that first.
Another important feature in my collection is that I keep it manageable. If I buy new records, I will take out the the same number of old records that I don't listen to anymore and get rid of them. I don't buy very many CDs anymore (those have been fiercely culled down to about 100). LPs are currently at about 350 (and I have plenty of material I am willing to part with when new stuff shows up). I am mostly culling pop material and so-so classical. I keep exceptional recordings and, of course, obscure stuff that I can't stream. I have gone from over 500 records and over 1000 CDs to a much more manageable and meaningful curated collection of physical media. I could cull the collection more, but I now have adequate storage space and no compelling reason to do so.