Instructions
Connect the FAT32 external hard drive to your computer with a USB cable. Click the "Open folder to view files" option from the "Autorun" window that comes up.
Click the "New Folder" option and type in "GAMEZ" in all capitals as the name of the new folder.
Right click the PS3 game you are installing on to the FAT32 external hard drive and click "Copy" from the context menu.
Right click the "GAMEZ" folder you created on the external hard drive and click "Paste" from the context menu.
Click the "Safely Remove Hardware and Eject Media" option on the notification bar of your computer and click the FAT32 external hard drive.
Unplug the FAT32 external hard drive's USB cable from the computer.