Yes, it's called a keiki.
Generally you remove them when the keiki has at least three roots that are a few inches long, so that the keiki can support itself when separated from the mother plant.
You can read about keiki's on the forum. Also we have a thread for info like this on phalaenopsis orchids.
http://www.orchidboard.com/community...ends-here.html
You probably only need to read the first ten or so pages and the posts by King of Orchid Growing are what you want to focus on, lots of information there. I recommend grabbing a cup of tea and settling in for a bit. Don't try to read it all at once though, take breaks, refresh your tea, grab some cookies or a light snack. It took me a while to get through the info in that thread.