Mcharza
E*POWAH BOSS
That's the method I always use. Steps 1 and 2I know of at least six different ways of getting the correct length of a chain. The one I use is as follows. Put the chain in the biggest gear on the front and the biggest gear on the back. Adjust the chain length until the rear mech arm is pointing forward at 45 degrees. Job almost done; there is another step.....
For those with single pivot suspension or a hardtail, then yes the job is done. For anyone else, you need to fully compress the rear suspension, as in a G out, the wheelbase may increase sufficiently to rip the mech off! So the chain needs to be a bit longer to allow for the extension. If you have air springs, then just let the air out and compress the bike. If you have coil, then you will need a heavy friend or two to assist.
If your chain is too long you will be at increased risk of the chain rattling on the chain stay, or coming off the front ring if you don't have some sort of chain device. Get your chain length right, and with the aid of a clutch mech and a narrow wide ring, then you should rarely if ever drop a chain.