With a crop sensor (non-fullframe as measured against a 35mm film camera) the image captured is only a part of the image projected by the lens. A larger sensor would "see" more of the projected image. The field of view seen in the image file from a small sensor is narrower, so it apears to be the equivilant of a longer lens on a full frame camera. This isn't a function of the lens, but of the sensor in the camera body.
The second question is the easy on. To get the benefit you just need to use it. Simples.