Hmmmmm, it works regardless of the 5 senses, but... it could be said that by entering sage mode, Kabuto gained another sense, so it's possible that by utilizing senjutsu's perceptual ability, he might feel through nature what happens in the real world.
The jutsu was activated here (chapter 580):
At chapter 581, Itachi confirms that it's already prepared:
And finally it is complete (chapter 586):
BTW. Someone was asking why other jutsus weren't used:
As you can see, Kabuto avoids chidori even more easily than Susanoo's arrow.