For starters, monitoring sounds not like an environment where trust is valued highly. Yet, that's the opposite of what a senior needs -- an environment where she or he is trusted (and expected) to do whatever is necessary to get the job done, in an appropriate manner, without instruction. I presume you want this guy to succeed, so I wouldn't take a "monitoring" approach.
Having said that, I would do this:
make yourself available -- let her know that she can ask you questions, even seniors need to clarify things, especially in the beginning.
don't expect her to know everything on the first day -- show her where to find information, even seniors need time to get to know a new system.
clarify rules -- let her know the rules, how the system or department is run, what to look out for, what expectations and no-gos are. Even seniors need to know these things.
involve the new guy -- include her on every meeting and discussion where she might benefit, and in particular those meetings that concern her areas of responsibility.
clarfify responsibilities, and practice hands off -- for any areas of responsibilities that were previously yours (or anyone else's), make sure decisions are taken by the new person, including the risk of failure.
agree objectives -- make sure the teams' expectations and your own are clarified. I say agree because it should be a process where you sit together, discuss priorities and then agree on the objectives to be reached. Remember the SMART rule -- any fair objective is Specific, Measureable, Achievable, Relevant and Time-bound.
review progress and praise achievement -- review progress and achievements regularly
Finally, whatever you do, always give direct, personal and timely feedback: If you see something that doesn't work the way it should, take him or her aside, explain what you observed, why you think its no good, how it should be. Be sure to be open for discussion, because new people tend to see things with a fresh perspective and might just have a good reason to do things differently than what is considered usual. Oh, and do give positive feedback, too, even seniors like getting some.
PS: "her" includes "him", just saying