The goal of this thesis is to develop a novel polishing tool system, which can be attached to a CNC machine tool and execute a precision polishing job for an axially symmetric free surface. The precision polishing job is to remove the error surface profile, left by the previous machining process, on the work to improve its form precision. The system mainly includes a mechanism of 3 degrees of freedom, a misalignment compensator mounted on the mechanism, and an oscillation-free connector between tool and driver. The mechanism was designed to meet the required motions of tool trajectories. These motions are to assure the tool can play three specific functions. The first one is to keep the tool axis maintain a constant angle with the normal of polished surface. The second one is to control the wear rate distribution of tool to reduce the effect of tool wear on polishing rate. The final one is to achieve the goal of uniform polishing quality at every spot of polished surface. The conceptual design of this mechanism is done based on a strategy of problem decomposition. The misalignment compensator is to reduce the effect of tool misalignment on the variation of polishing rate. The compensator allows a translational motion and is constrained by a spring. When the tool is mounted on the compensator, the study will show that with a proper spring constant the effect of tool misalignment can be significantly reduced. The study will indicate that the smaller the tool mass is the higher the compensation efficiency can be. The oscillation-free connector is to separate the tool and its driver so that the mass of driver is not included in tool, while the driving function retains. It is composed of two parts. One part is connected to tool and the other one is mounted on driver. These two parts are not joined together by any mean. However, the motions of two parts will interfere with each other. Thus, the driving function between tool and drive can be maintained. It is noted that the vibration of driver can be successfully isolated from the tool if a soft material is attached to one part.