Automatic Referencing will search through a set of specified unreferenced Marked Points or Silhouette Marks (depending on the type of objects that you are referencing) and attempt to optimally reference them together.
Note that this set of points or silhouette marks cannot describe a multi-sided object (for instance points marked on windows and door on both sides of a house) and each point or silhouette should appear on three or more photographs (four is preferred). Also note that these photographs have to have a geometric relationship similar to that described in the Quick Start Guide section - Photography for Curves, Edges and Cylinders. One possible configuration is like this: