OK, heres how it works
I'll assume one of three scenarios
either A, you have a disk with a single partition, that is perhaps 25% full,
now you want to split the disk in half,
the trouble is that you can't create a new partiton in the space of an old parition without first removing the old partition, (and hence the data).
B, you have two partitions
(system and data), now you want to make the data parition a little smaller so that you can have a partition labled backup.
unfortunatly you're in the same problem as above, you can't resize a partition using the windows tools, you'd have to delete the partition and then create a new one,
this isn't so bad if you can fit all of your data onto the first partition, cause you can then happily move all data, delete the seconds partition, create partitions 2 and 3, and then move the data back from partition1.
the last scenario is that you have a single disk, with a partition, but that partition only takes up a small part of the disk and you have free space left...
if this is the case.
Open the command propt and type Fdisk.
from here you can create a new partition in the freely available space
even with XP and the disk manager there you cannot resize partitions without having to loose data and posibly re-format.
to resize partitions that already have data on them, (or to resize system partitions). you have to use special software such as partition magic, or partition commander.