according to index of the book, the chapter is called "The Stored Program Machine".
book goes over introduction to digital logic, design and comparison of FSM and true computer system.
chapter 2 goes over design of 'computer system' and steps to make one. the process is well described and rather simple,
i consists of output register, program counter, memory, instruction decoder etc.
when I was in school, we had to build one just like it and make our own instructions.
here is one of graphs showing simple concept with just one input (LOC), and memory to hold program. instruction decoder is only three gates and an inverter.
this was just warm-up, following chapters go over PIC hardware. hope it helps