Updates will be OTA, and orange blinking icon will appear in upper right corner, when update is available. You can also use a program on computer to flash the device, but this will wipe all your settings/info (only be used if something terrible happens).

I would recommend using the backup function, just in case something happens. Im waiting for someone to create a program/system to create full backup of the phone. As a developer this would be huge help, its easy to mess the system when you start digging "under the hood".