Magic Gallery plugin by gerbenvandijk can create albums, and upload images within these albums. It uses a shortcode to display these images at the front-end.
Features:
Creating/deleting albums
Uploading/deleting images in these albums
Set thumbnail dimensions
Uses a shortcode to display an album inside a post or page
Option to choose between different gallerys (Lightbox2, Pikachoose so far)
On the fly thumbnail generation thanks to Smart Image Resizer (PHP), found on shiftingpixel.com.
Option to hide/display image titles in the gallery
Set a maximum amount of characters for the titles
Option to show all images into one album
Download and info: http://wordpress.org/extend/plugins/magic-gallery