Upgrade to XP from ME

In Trying to upgrade to XP from a troublesome ME, after formating the drive, I can’t run setup. It says that this program cannot be run in DOS. What has to be done to make this changeover to XP on this ME box? The system is a Pavilion with 60 GB HDD and 512 RAM. Should I be booting with a ME floppy or XP? Does the BIOS need to be upgraded? Thanks for the help!