Final answer:
An A&P technician should place the operation instructions for a new autopilot system in the Aircraft Flight Manual (AFM) or the Pilot's Operating Handbook (POH), and ensure the installation is recorded in the aircraft's maintenance records.
Step-by-step explanation:
When an A&P technician installs a new autopilot system in an aircraft, which qualifies as a major alteration, it is crucial to ensure that the operation instructions are readily accessible for reference during flight. The Federal Aviation Regulations (FARs), specifically in Part 91, require that all pertinent supplemental operating instructions be located within the aircraft for easy access by the pilot. Typically, this means placing the autopilot operation instructions in the Airplane Flight Manual (AFM) or the Pilot's Operating Handbook (POH) if one exists for the particular aircraft. These documents should be updated to include the newly installed system's operating procedures, limitations, and any additional information critical to its safe operation.
Furthermore, it's essential that the system is properly documented in the aircraft's maintenance records, indicating that the installation was completed in accordance with the approved data and that the system is ready for use. This documentation should include a description of the work performed, the date of installation, and the signature of the person approving the work.