For example, say you've got this query link to show all products in category 100:
shopdisplayproducts.asp?id=100
...you might get 5 pages returned
If you don't have byz116 in place then the paged links (ie at the bottom the links for pages 2, 3 etc) will just point to "shopdisplayproducts.asp?page=2" (it won't re-iterate the same query; relies on the order that you click things in, so search engines won't find the subsequent pages as pages 2 onwards are meaningless urls as far as the search engine is concerned).
However, if you have byz116 in place then your paged links will include the original query parameters.
For example, it would look like:
shopdisplayproducts.asp?categoryid=100&page=2
It's not dependant on you clicking in a specific order, and also doesn't need your session to stay active which means you can also page on multiple windows without conflicts and add the page to your bookmarks etc.
It creates real/direct urls rather than just a "display what I did a moment ago in my session" page which means that search engines can read the pages.