http://www.faa.gov/pilots/training/media/flight_review.pdf
1. Have them do the FAA Flight Review course at faasafety.gov. This course can replace the entire ground, but I usually also cover a few additional areas, such as recent accidents in the area and in the type of airplane you are flying. I also have the pilot look at the courses at the AOPA Air Safety site and do one of them. For example, when I taught in El Paso, if the person was new to flying there I would have them do the mountain flying course.
2. Find out the type of flying the pilot normally does. What are his strengths and weaknesses? Does this person normally fly IFR or VFR? How much are they flying? When was the last flight? What type of airplane do they normally fly verses what are you flying for the flight review?
3. Based upon your interview with them come up with a course of action that includes a cross country flight and a weight and balance problem. Let them use any means for planning the flight (I encourage electronic means), as well as weather. I do not necessarily fly the route unless they want to. It is more a means of checking their planning process and risk analysis. For example, I will often give a pilot a scenario where we depart for a high elevation airport in the morning and return in the afternoon. The idea is to see if they plan on the performance for departure based upon morning conditions or afternoon conditions. If the pilot is instrument rated I will give them a scenario where, if we depart in the afternoon at max GW we can not meet the climb gradient specified in the ODP.
4. Again, select maneuvers based upon your discussion with the pilot. Commercial pilot? When was the last time they did a chandelle? Steep turn? Spot 180 landing? No recent instrument flying, maybe an approach?
5. Try to make it fun.
6. Encourage them to use the FAA Wings program.
Remember, one of the leading reasons for the high GA accident rate is the lack of recurrent training. Flying Magazine recently had a very good article on how drsmitally the MU-2 accident rate has dropped since the FAA mandated annual recurrent training. I encourage all pilot I encounter to have recurrent annual training verses training every 24 months and to avail themselves of the courses available through the Wings program.