There are many different ways of attaching binding to a quilt. Here is a Youtube video on one method that is done all by machine:
http://www.youtube.com/watch?v=wprg5vzkuGw
With the above method you sew the binding to the back side of the quilt first, then turn and finish from the front.
If you plan to finish the binding by hand, you would sew it to the front of the quilt by machine first, then turn and do the hand sewing on the back.
Mary