Originally, I wasn't sure how to earn this achievement, but once I figured it out, it was pretty cool. Like Br0ken Ghost stated, you need to be in the Nightclub level. Make your way to the dance floor, where you'll see a lot of people dancing to a pretty good tune. Just get yourself into the crowd and you'll see Bond sway back and forth, dancing. Once that is happening, set the controller down and wait for a good forty-five seconds or so, maybe up to a minute. Eventually, the Dance Commander achievement will unlock! It's really that simple.
If you still need to know how it's done, please check out the video below. All credit goes to TheJaycee88 for making this video and having it shown to the public. A really simple achievement to get, if I may say! :-)