In this study, the feasibility of predicting surface integrity and residual stresses by using elasto-viscoplastic finite element simulations and temperature-dependent flow softening constitutive material modeling is investigated. A friction determination method is proposed to identify friction coefficients in presence of tool flank wear. Serrated and cyclical chip formation has been simulated for using tools with and without flank wear. The predicted residual stresses and surface integrity is compared against experimental results from literature. Effect of friction on the residual stress profiles is also investigated. These results are highly essential in predicting machining induced microstructure alterations that are detrimental to fatigue life of nickel and titanium alloy components.