Converting to dvr-ms will allow you to have a filetype thats compatible with the xbox 360. You'll also have Fast Forward and Rewind capabilities that are much smoother than .avi’s and other filetypes.
First, download DVD Shrink and install.
When you start the program, click Edit, click Preferences, go to the Output tab and uncheck Split VOB files into 1GB size chunks. Click OK
Next click Open Disc. DVD Shrink will analyse the DVD. When it’s done, click Re-author, double click the Main Movie title
Click the Compression Settings tab. Here you can choose how much compression you want and usually I uncheck the 2-ch audio as it contains directors comments.
Next, click Backup! and select the output folder for your files. Click OK and wait for DVD Shrink to finish.
Now, download VideoReDo and install.
When you start the program, click Open Video and choose the .vob file you just made using DVD Shrink. Click Tools, then click Quick Stream Fix.
Input Stream will be your .vob file. Set the Output Stream to wherever you want it, making sure to save it as a dvr-ms file. Then click Start Quick Fix.
If you already have a bunch of .vob files made you can batch convert them.
Start VideoReDo, click Tools, click Options, click File Types. In the Project Open column, uncheck all except for VOB, click OK.
Now click Tools, Start Batch Manager. On this screen you must add each .vob file separately. Start by clicking the … button next to Source Project/File and choosing your file. Next choose your Destination folder (it’s much easier to have them all go to the same folder rather than their own individual folders. Otherwise you'll have to change this for every movie.), make sure Destination Type is dvr-ms, the Destination Filename should fill itself in with your movie name and where it is to be saved. Click Add Entry.
From this point on all you need to do is open your Source File and click Add Entry for every movie you want converted. When you're done, click Save and Execute.