The program is easy to use. On start-up it looks for a connected iPod and parses the iTunesDB file on your iPod.
From the iTunesDB file it creates two files. In the ~/Music folder, you should see a iPodDB.html file and a iPodDB.xml file.
The HTML file can be opened with a web browser and is just a listing of all the songs (location, size, bitrate, album, artist, title) on your iPod. The xml file can be used by iLyric.