Simply Charming - Navigation Menu
Navigate to Dashboard > Appearance > Menus and create a Custom Menu.
Select the items to add to the menu, and click “Add to Menu”. Drag and drop the items into the order you wish them to appear.
Assign the menu to a Theme Location at the bottom of the menu.
For more detailed instructions on setting up the navigation menu along with a video tutorial, see this.
Position Navigation to the right of the logo
In addition to what you see on the demo site, you are able to place your navigation menu to the right of the logo. Here is what that looks like:
Navigate to Appearance > Widgets and drag a Custom Menu widget into the Header Right widget space. Select a menu from the drop down and save.
To remove the navigation from under the logo, be sure you don't have a navigation set under Appearance > Menus > Manage Locations.