This Small Business Innovation Research (SBIR) Phase I project aims to provide a novel technique for the micro-mark data matrix and portable machine reading of micro-codes on very small devices, as current marking methods are not applicable for such devices such as those used in craniomaxiofacial surgery. The unique marking code will enable encoding to provide information for inventory control, tracking, traceability and accountability. The technology will provide more than an order of magnitude improvement in symbol code size and data capacity. Existing techniques are impractical due to the fact that they require a larger footprint and do not provide the required data capacity of 100 characters or more that is requested by potential customers for inventory, lot trace code and so forth. The Phase I project will demonstrate feasibility to create a portable field reader which is capable of reading cell sizes from a 102um to 6um, and to extend micro-marking capabilities to 6um cell sizes. The project will investigate micro-marking of two dimensional code in the groove of a screw head and similar small dimensioned objects. Completion will result in an ability to mark and inspect during manufacturing process and be readable in the field. The broader impact/commercial potential of this project is in the medical industry for the marking of bone screws and other implantable components and subcomponents that have extremely high quality standards, long lifecycles and must be biocompatible. Demand for implantable medical devices is projected to grow at a 9.3% compound annual growth rate (CAGR), reaching $43.6 billion in 2011. The broader impact is potentially as transformational as was the migration from numerical coding (price tags) to bar codes (UPC) in the retail business. Many industries including defense, pharmaceutical, legal, and forensic businesses have a demand for a micro-marking inventory and control systems. Potential commercial markets include patent marking, controlled (substances) products, ballistics and anything that requires strict quality and/or inventory control or the need for traceability. Some of the commercial, societal and environments benefits that result from encoded micro marks in applications previously not attainable include: reduced waste by better inventory control; fraud/counterfeit control; reduced errors as result of automated and accurate identification;accountability through traceability increased efficiency from automation;product quality improvements from increased trace code history;statistics from data collection; and improved future product development through rapid manufacturing feedback