comda,
In order to use time machine, you need to have something to backup to. Here are your two options:
1. An external hard drive (I recommend this one)
2. a seperate partition on the same hard drive.
I highly recommend getting an external hard drive instead, as if your laptop were ever stolen, you'd have a backup on your external drive, instead of on another partition on the same drive.
External drives have become very cheap now. You can get a 500GB-1TB drive for $100 or less.