Cutting tools with surface micro-structures have positive effects on reducing friction, improving the wear resistance and anti-adhesion. Micro-structures of different shapes are fabricated using a fiber laser on the surface of polycrystalline diamond tool. The effects of various processing parameters on topography and quality of micro-grooves are analyzed, such as scanning speed, pulse repetition rate, average output power, etc. The experimental results show that the width and depth of micro-grooves have an increasing and a decreasing tendency with the increase of the average output power and the pulse repetition rate respectively. Furthermore, the surface roughness of micro-grooves sidewall and topography quality of micro-grooves can be improved by the higher average output power and the lower scanning speed.