There are many ways to create a PowerPivot for SharePoint development environment. This chapter covered three that have proven useful in real-world work:
Adding PowerPivot for SharePoint to an existing SharePoint installation
Creating a virtual machine containing a Domain Controller, SharePoint, and SQL Server components, in an All-Up installation
Hacking the PowerPivot for SharePoint installation in order to run SharePoint 2010 and PowerPivot for SharePoint on a Windows 7 machine
You should understand the purpose of the PowerPivot Gallery, and how SharePoint document libraries are the underlying SharePoint structure for PowerPivot.