Well seems you're not afraid of challenges, I see
16MB of memory doesn't give much moving space, if you'd like to run X and have a graphical desktop...well, try out, you never know.
I guess your choices are somewhat
- a network install, except that you'd still need a bootdisk of somekind
- borrow a floppy drive from somebody to boot the thing and use other install methods
- take the HD out and install it on another machine; I have never tried this myself and doubt if it would work all right.