First time stampimg-H1b First time stamping

I came to US in an H4 Visa and I applied for H1b and it got approved in Jan 2013. I have a valid i-797 with I-94 details in it. Meanwhile my H4 extension got approved in Feb 2013. So my employer is saying I will be in H4 only now and So he is asking me to Travel to Canada or Mexico. While coming back to US he is asking me to Present my approved i-797 with the I-94 to the immigration person in the Airport.

Please let me know whether there will be some problem in that.

Will my status get updated with the H1B details that I provide in the Immigration.

Thanks in advance