By utilizing nitriding processes in combination with selection of steel grade manufacturing of components with low friction and high wear properties is facilitated. The need for post machining and straightening is reduced as a consequence of low distortions due to the low process temperature. Nitriding and nitrocarburizing of a wide range of steel grades have been applied in order to evaluate influences on compound layer, diffusion zone and residual stresses and consequently the overall impact on fatigue and tribological properties. Demonstrator components, e.g. gear wheels, have been selected and measures to replace carburizing with nitriding processes. The level of distortion is greater for case hardened gear wheels compared to nitrided wheels. Furthermore, there seems to be less scattering in distortion level between the nitrided wheels within a given steel grade, suggesting that the distortions would be easier to predict and compensate for compared to case hardened wheels. The influence of steel and nitriding process was evaluated by wear testing. In lubricated conditions the tribological properties were quite similar for all tested samples. The result in dry conditions resulted in a lower friction at lower loads for some of the nitrided and/or nitrocarburized steels compared to case hardened steel 16MnCr5.