Scott Hanselman and Rutger Smit, improved and re-released the original WatirMaker with new name WatirRecorder++. Its a Windows Application that compiles and runs on .NET version 1.1. So to run this recorder you need to have .NET framework 1.1 installed on your machine. Upgraded version for .NET platform 2.0 will be released soon by the authors.
You can download the tool here.
Also check out Ruby version of WatirMaker.