Step 1: Divide the number into separate digits:
01776 => 0 1 7 7 6
Step 2: Calculate the distance between each digit and the next (the last digit with the first):
0 to 1 = 1
1 to 7 = 6
7 to 7 = 0
7 to 6 = 1
6 to 0 = 6
Step 3: Combine the filters to a string:
1 6 0 1 6 = 16016