If you have installed the optional Office XP/2003/2007 feature for MS Office Document Imaging, then you can scan an image to a TIFF
or MDI file, then open it in Document Imaging and you'll see the menu choice there that you mentioned.
If it's installed MS Office Document Imaging would appear in
Start=>Program=>Microsoft Office=>Microsoft Office Tools
If it's not installed you can use the Programs list in the Control Panel to use 'change' to add that feature.
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How is this done :
open the document in Document Imaging,
and click Recognize Text Using OCR on the Tools menu.>>
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Bob Buckland ?
MS Office System Products MVP
*Courtesy is not expensive and can pay big dividends*