please help, i'm stuck

I’m very new at all of this, so i’m trying the nice 30 minutes animation step by step thing from the site.

But, now I’m at the part where you have to do some skinning. only apparently this manual is based on an older version of blender, where they use armature- create from closest bones , and then you have automatic skinning. And I don’t have that button…Can someone help me get past that part by getting the automatic skinning done in some other way, so I can go on creating my Gus? :o

Thank you