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I want details regarding POS machine integration with local machines.
Is IOT box is required for any device integration?

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yes IOT box required for device integration. because browse is just sandbox for the machine/OS, bowser has no access to any local machine interface

POS box has OS (ubuntu) and odoo server is running also inside POS so it can communicate with the interface of device. browser directly communicate with POS box via LAN/Wi-Fi

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You can connect machines like bill printers directly to the pos machiene.

Make use of these modules - 

-->ESC/POS Hardware Driver

-->PosBox Homepage

And you can simply refer this documentation if necessary.

https://www.odoo.com/documentation/user/11.0/point_of_sale/overview/setup.html

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