In your Word document, determine the appropriate heading levels and the styles you want to use for each one. Select the appropriate level of Heading from the formatting menu and apply the styles you want for that heading. From that point forward you can simply highlight the text and choose the heading level for that text.

Once you have completed the steps described above for your entire document, if you would like, you can create a table of contents. Select [Insert], [Reference], [Index and Tables...].

A window like the one shown below will appear. Select the [Table of Contents] tab. Change any settings as desired and select [OK].

This will create a Table of Contents in your document using your headings. This table of contents can be used to navigate your document. If you change the document, all you have to do is right click on the table and choose [Update Field]. Any changes will be incorporated into your table of contents.
