Step 1: Divide the number into separate digits:
89746 => 8 9 7 4 6
Step 2: Calculate the distance between each digit and the next (the last digit with the first):
8 to 9 = 1
9 to 7 = 2
7 to 4 = 3
4 to 6 = 2
6 to 8 = 2
Step 3: Combine the filters to a string:
1 2 3 2 2 = 12322