Ramboy,
I don't have a schematic of the "sending unit" that goes into the exhaust manifold handy, but assuming you're using a type K thermocouple, there's nothing in there but a junction of the two thermocouple leads. The junction of two dissimilar metals (chromel/alumel in a type K) will generate a tiny voltage output that's proportional to the temperature of the junction - that voltage is what the pyrometer is measuring. That's also why if the two thermocouple leads are shorted together between the design junction and the gauge, the gauge will start reading the temperature at the point of the short.
Rusty