The objective of G.W. Bush's Missile Defense program is to develop and maintain a system that will protect the United States and its allies against limited ballistic missile threats, including accidental or unauthorized launches and "rouge nation" threats.
The main goal of the Missile Defense system is to protect the United States and its allies from "rouge states" (Iraq, Iran, or North Korea). It would also provide a defense against a small, accidental or unauthorized launch from more nuclear capable states.
How we will accomplish this:
Field an NMD system that meets the ballistic missile threat at the time of a deployment decision
Detect the launch of enemy ballistic missile(s) and track them
Continue tracking the ballistic missile(s) using ground based radars
Engage and destroy the ballistic missile warhead above the earth’s atmosphere by force of impact
The missile defense system would be a fixed, land-based, non-nuclear missile defense system with a space-based detection system, consisting of five elements:
As you can see, "NMD" and "the United States" have been replaced by "missile defense" and "the United States and its allies", respectively. Originally, the missile defense program was intended for the US only. However, when G.W. Bush went to Europe to gain support for the NMD program, America's European allies saw no reason to give him support for a program that wouldn't help them at all. So, in the hopes that they would give him the support he needed, Bush dropped the "National" part of "National Missile Defense". That still didn't get the Europeans to support it, though...
Well, if we didn't confuse you by now, you know how the missile defense system is supposed to work in an ideal environment. However, the real world is rarely an ideal environment. Various counter-measures that can be easily deployed to fool the missile defense system.