On the View menu, click Header and Footer.
 
Show me
 
2 On the Header and Footer toolbar, click Show/Hide Document Text    to hide the text and graphics in the main document.
3 Insert a graphic ¾ a drawing object such as an AutoShape, clip art, WordArt, pictures, and imported art ¾ that appears on every page.
 
How?
To insert text, such as "Draft," click Text Box on the Insert menu, and then type the text you want to appear on every page. You can size the text box by dragging the sizing handles.  
 
4 To format the graphic, select it, and then click Picture or Object (Format menu). On the Picture tab, under Image control, select Watermark from the Color box to format the picture with preset brightness and contrast settings that work well for watermarks, or adjust the picture's brightness and contrast manually using the Brightness and Contrast slide controls. To format the graphic so that document text flows above it instead of wrapping around it, click Picture or Object (Format menu). On the Wrapping tab, click None.
 
To format the text in the text box, select it, click Font on the Format menu, and then select the options you want. To rotate the text, click Text Direction on the Format menu, and then select the option you want. Because the text box is a drawing object, you can use options on the Drawing toolbar to format its borders, background color, and so on.
 
5 On the Header and Footer toolbar, click Close.