This article describes the influence of steel chemical compositions and microstructure on machining processes. It discusses the various microstructural phases of standard carbon and alloy steels, which influence machinability. The article reviews the expected response of several traditional machining operations, such as turning, drilling, milling, shaping, thread cutting, and grinding, to the microstructure of standard steel grades. It also explains the technologies in non-traditional machining processes, such as abrasive waterjet cutting, electrical chemical grinding, and laser drilling.