To see how it works, go to
www.astrolabes.org. This is a brief but very informative website.
If you're really ambitious, try reading Geoffry Chaucer's treatise on the astrolabe
here.
I couldn't find anything on navigation using the north star, but that doesn't mean it didn't happen. The astrolabe was used to measure the sun's position in the sky both for telling the time of day and the position of the ship.
They're still used on ships today, even though our electronic navigation systems are much better. (On my ship, there was only one officer who knew how to use it. For everyone else, it was show and tell.)
If you think about it, standing at the north pole and looking straight up at a 90 degree angle, your line of sight is parallel to one seen standing at the equator and looking straight at a 0 degree angle. Since the two lines never cross, you really can't see the same object no matter how far away it is. For anything lower than about 30 degrees north, your line of vision would pass through the earth (if it were a perfect sphere, which, out to sea, it very nearly is).