I have chucked a 6-32 tap in the lathe, made a bar for the tool post with a pin in it to hold a pulley horizontally. Ran the pulley into the spinning tap, it actually did not a bad job. Set up looked much like the photo of first video only in miniature.
Cheers Frank, Trev (from Trev's Toy Box) has said that he also uses the method
"I use this method a lot for making
worm drives. For serrations on drive pulleys, I use a 1/8th tap
in the mill chuck, and hand hold the grooved pulley on a piece
suitable shaft, so it can spin freely, Trev"