A colour head is a pretty flexible thing when printing B&W and using multigrade papers. It allows to give you plenty of contrast control, all at the turn of a dial.
The way that the multigrade papers work is the more magenta you dial on, the higher the contrast you will get. If you want lower contrast, you reduce the magenta until that is 0, then you can start adding yellow, which will reduce contrast more. Typically (from my experience. Your mileage may very), you would only ever be playing with either Magenta or Yellow by themselves and more then likely, you will only be playing with magenta.
For a starting point, a lot depends on your negatives and your desired effect. I would start with the enlarger set at 0 on all filters and do some test strips (for your enlarger and ilford MG papers, this is supposed to be aproximately grade 2). If you think that the image looks flat, then add some magenta - By the sounds of things, you are starting out, so I would go the full grade steps. When you are all done, compare the grade 2 you started with, with the grade 4ish (you can never get a full grade 5 out of the LPL) and it should become apparent.
Typically, I print at grade 3 to grade 4.
Hope I haven't confused you more!