Recently, precision machining technology has been developed continuously in order to achieve high productivity and assured quality of precision parts in several industrial fields such as; lasers, optics, quartz vibrators, semiconductors, aircraft and artificial satellites etc. Waviness may occur on the surface of machined parts due to the table motion error and the dynamic cutting mechanism between the tool and the workpiece and may impair the form accuracy of the precision machined parts. In this research, a micro cutting device with piezo-electric actuator has been developed in order to control depth of cut precisely and compensate the waviness on the surface of the workpiece. Experiments have been carried out on a precision lathe. The characteristics of the surface profile and the cause of the waviness profile have been analyzed and waviness profiles of some cases have been compared with those of experiments. (C) 1998 Elsevier Science Ltd. All rights reserved.