Thank you everyone, I do plan on being creative as this is a wallhanging! I may even try some shadow quilting around the appliques. I did feel 'limited' on the baby quilt as I wanted it to be functional.
I originally thought I would put the appliques on baby's quilt, then DUH... I thought.. the reason I made it of flannel was to be S-O-F-T. Appliques would take that softness away... so Voila` a wallhanging was instantly called for!!