InduinoX User Guide - Interfacing with the LCD Shield

The LCD Shield eases the process of interfacing a LCD display with the Arduino. The shield fits on top of any Arduino and takes power from the Arduino. 

How to place the Shield on top of an Arduino?
The shield has one of set 8 pins and 1 set of 6 Pins. The trimpot on the shield is on the top left side. Now place the shield onto your arduino such that the eight pins are placed on top of pins 8,9,10,11,12,13,gnd & aref and the six pins are placed on top of pins Vin, gnd, gnd, +5V, +3.3V & reset

The LCD shield is designed to work with 16 pin LCDs with the following pin configuration.

LCD Pin Mappings for the Shield
The LCD shields provides a 4-bit mode interface to the Arduino. The Pins are connected as follows.
RS => 8
E => 9
D4 =>10
D5 =>11
D6 =>12
D7 =>13

You can run the Hello World Example under File->Examples->LiquidCrystal->Hello World, with the following changes
replace this line
LiquidCrystal lcd(12, 11, 5, 4, 3, 2);
with
LiquidCrystal lcd(8,9,10,11,12,13);


Character LCD - A Quick Overview
Here's an interesting Write up to get you understanding the working of the LCD
http://joshuagalloway.com/lcd.html