1. Generating WSP file:  Just build & package your SharePoint Project or Solution file in Visual Studio 2010.

2.  Adding Soultion: 

• Run  SharePoint 2010 Administrator Admin service (Administrator tools>>Service)
• Open SharePoint 2010 Management Shell (which will open  power shell window)
• Run Add-SPSolution -LiteralPath c:……….SolutionFileName.wsp 

 2.  Installing Soultion: There are two ways : using Power Shell  and Central Administrator Site

• Using Power Shell
• Run Install-SPSolution -Identity SolutionFileName.wsp -WebApplication http://servername -GACDeployment
• Using Central Administrator Site
• Click on System Setting link (on the left side)
• Click on Manage Farm Solutions link under Farm Management section
• Click on your solution file
• Click on Deploy Solution link

3.  Activating Solution Features:

• Open your site as an Administrator
• Click on Site Settings under sub-menu Site Actions
• Click on Site Collection Features link under Site Collection Administrator section
• On your deployed solution row and click on the activate button