How to delineate sub-watersheds from a DEM?

[Vinu.]

Hi,
I want to delineate the watershed and sub-watersheds from the DEMs
from USGS. I am using spatial analyst in ArcGIS 9.2. Can you tell me
the step-wise procedure to pre-process the DEM and then delineate the
watershed.

I tried to do it on my own. However I am specifically having problem,
where it asks for the "pour point raster". How to create this raster?

Thanks,
Vinayak