Changing the output resolution can be as simple as changing the display settings on your pc. With my tv, I can select 800*600 or 1280*720 on my pc, connect everything, and that's it. With the 1280*720 setting I get a bit of overscan, but it doesn't bug me. If you want to fix the overscan you need to try a utility like powerstrip (if you're using an ATI card). Of course, your setup maybe different, but it could be as simple as what I just described.
If your PC has a ATI gfx card install the new catalyst drivers they allow you to force 720p or 1080i without the use of a app like Powerstrip.
To get to the Force 720p or 1080i dialog you go to the Display properties Window > press advance > select the Displays tab > click on the FPD bar above the picture of the LCD screen > change tabs until you see the option to force 720p or 1080i.
If you have a Nvidia gfx card install the new ForceWare drivers which allow you to add your own custom resolutions.
To get to the custom resolutions dialog you go to the Display properties Window > press advance > select the tab with the name of your gfx card > on the left hand menu click on Change Resolutions > Click on the add button.