How ? Put it into a furnace capable to heat up to some 800 °C.
As the paper states clearly, the original properties of the core material is altered due to the mechanical stress during stamping/bending. Such treatment is known to alter the mechanical properties of eg. steel. Obviously this applies not only to the mechanical, but as well to the magnetic properties of the stator iron core. As it is, the properties seem to be altered to the 'worse' due to the mechanical stress. The heat treatment does nothing more than restore the original properties of the core material.
What the autors did is called 'tempering'. And you should be easily able to find a lot of process descriptions when searching for iron or steel tempering.