This site gives a reasonable explanation of it.
http://www.allaboutcircuits.com/vol_6/chpt_3/14.html
A couple of points to note. Don't use this method on the bike as you stand a good chance of demagnetising your rotor if only partially! To be safe you really have to remove the stator and do it on the bench.
Also using your battery to test your alternator is not a good idea as large currents will flow. You could use a variable resistor (something around the 12 ohm mark assuming a 12v battery) to reduce the current.
I have a variable power supply at home and used that instead. All I did was adjust the power supply voltage until 1 amp was shown on the meter. At this current the voltage shown on the other meter then equals the stator resistance (R=V/I).
Derry.