You will need to enable the setting "Use Matrix Style Variant Display" found in your Theme Manager. You will also need to alter the default “Variant Matrix Help Text” to read how you see fit.
If you wish to track inventory you will need to also open the Catalog > Product Statuses, verify the correct store is selected in the “Store” dropdown, and put a check in the box next to “Track Inventory” You will also need to enable Variant Inventory, either through the Product editor or via the Product Variant Inventory Import.