Very Nice explanation. From the drawing I guess I was mistaking the gypsy to function as a drum would on a winch. So, it looks like the windlass assy. "holds on" to the rode and retrieves it/pulls it up and, in the example of your illustration, feeds it into the locker.
Okay, so what's the gypsy's function? For wrapping short amount of rode?
I guess I'm trying to equate the setup to those found on large ships, and I was under the impression there were styles? to allow the task to be performed entirely from a remote location, specifically the cockpit (for anchorages under calm conditions).