I would guess that it would go into detail in the POH.
If nothing else, I would summarize it as a way to get the best fuel performance for a piston without having to use a fuel flow gauge that may not be quite as accurate. You're measuring the temperature of the exhaust gases, which will reach a certain temperature when you add/subtract fuel to the air fuel mixture.
Generally speaking, most planes I've flown with it, you slowly lean out the mixture (and I do mean 1/8" per second) until the EGT stops climbing. This is peak EGT. If you continue to lean out the mixture, the EGT gauge will actually drop and soon enough the engine will sputter. When you've found peak EGT, then enrichen the mixture from 75 to 100 degrees from that number. That is roughly estimating through different models. Your POH should give you a specific economy and power setting for EGT.