Milton Glaser is one of the most famous graphic designers. I've never felt that teaching designers that drawing and rendering were skill sets no longer needed. I have heard professors who say that designers don't need to draw, you have illustrators for that! I've also had conversations with art directors and they bemoan the lack of drawing (thinking, creative thinking, planning) skills among the recent design graduates. Oh - they know their way around computer software, but they are crippled creatively without it .
I know that a lot of you still do thumbnails, and maybe even roughs, and that not all teachers have jettisoned all the traditional tools for the technological ones, but I think there is too much emphasis on the 'cool tools' of technology rather than teaching students to really think, see, and more importantly, listen!, before jumping into a client's needs.
Keep drawing! Keep creatively thinking!
Now I'll have to get all my logo designs and other client work out of the mothballs and show them here. I usually show more illustration than true design. I figure there are way better sites (like Brian's) to show you great design. I love design. I love typography. But I really love mixing it up with illustration and photography my first true loves. And while you don't have to be an artist to be good designer, it helps if you have a good handle on formal art principles as well as the principles and elements of design.
Have fun, be creative!