If the words confused you, then you must surely install the mods and observe it.
The extension basically adds more levels to the Rebel pursuit indicator on the sector map screen, thereby permitting you to more easily gauge how far the fleet will advance after a proper amount of jumps and if it will overtake a certain beacon. So yes it is a great example to show how small things can lead to big changes. What does the name suggest to you? It is an extension of something.