This is a part Illustrator part Photoshop tutorial, you need both these application to get this working. The problem is that you need to create a Silhouette in Illustrator but your drawing skills aren't upto much. What you can do is create a selection in Photoshop and then Export the selection as a path into Adobe Illustrator.
This is a picture of the finished article which is a full vector graphic with anchor and control points without any pixelisation.
Download the Elephant Exercise file if you want to follow along.