Recently, demand the ultra precision product which is increasing rapidly is used extensively frontier industry field such as semi-conductor, computer, aerospace, precision machine. Ultra precision processing is the portion that is very needed to NT in the field of mechanical engineering. The latest date, together with radical advancement of electronic and photonics industry, necessity of ultra precision processing is on the increase for the manufacture of various kernel parts those are connected with these industrial fields. Specially, require motion accuracy of high resolution of nm order in stroke of hundreds millimeters according as diameter of processing object great and processing accuracy rises. In this case ,the response speed absolute delay because inertial mass of moving part is very large. Therefore, real time motion error compensation becomes very hardly. In this paper, we used ultra precision cutting unit(UPCU) to cope such problem. a UPCU is designed and tested to obtain sub-micrometer from accuracy in diamond turning of flat surfaces. The thermal growth spindle error is compensated for real time using a UPCU driven by piezoelectric actuator along with a laser encoder displacement sensor.