First of all, you need the digital elevation model (DEM) of the area that you want to analyze. Within the GIS software that you are using, you can derive the slope map from DEM, and also the flow direction map. With the flow direction map, you can do the flow accumulation map and then Watershed definition. Some GIS software can do all in one step.
GEOGRAPHIC INFORMATION SYSTEMS IN WATER RESOURCES ENGINEERING, Lynn E. Johnson, CRC Press, IWA Publishing, 2009
And if you do not have an ARCGIS license, you can try an open source GIS like QGIS (http://qgis.org/en/site/) or SAGA (http://www.saga-gis.org/en/index.html)