It allows you to have a non-sensitive single factor within things like configuration management, and have the second factor come from a machine-local location (instance ID, MAC address, TSM module, etc.). The idea is that another team out of band sets the 2nd factor that developers and config management never get to see. The result is you have full automation without secret zero issues.
As an additional security parameter, you can bind the two factors together to a single CIDR block, so you can have an additional factor restricting access from that machine's IP.
The URL itself above goes into a lot more detail, but our beta users are successfully automated in an elastic environment this way.