The player picks one of his units and announces which enemy unit it will charge. The enemy must make its charge reaction before another charge can be declared.
The first thing you need to do in the charge sub-phase is to declare any charges you wish to make. Except in a few unusual circumstances, you are never forced to charge. It's almost always your decision, so don't let a glib-tongued opponent tell you otherwise! However, charging is the only way for units to reach close combat with the foe. If you want to attack an enemy then you must charge him – you simply cannot move into close combat without having declared a charge.
To declare a charge you must indicate which of your units is charging, and which enemy unit it is going to charge. For example, you might wish to declare that your Skaven Clanrat unit is charging the High Elf Spearmen.
You're always allowed to measure the distance between the charger and the potential chargee before declaring the charge, as this might well affect your decision whether or not to declare a charge!
When you declare a charge, one or more of the models in your unit must be able to trace a line of sight to the enemy unit, and the target must lie at least partially within the charging unit's front arc.