In the present work, cutting fluid consumption, surface roughness, component of forces and tool temperature were analyzed with and without online regulation cutting fluid. Cutting Fluid Optimizer (CFO) is a device that automatically regulates the supply of cutting fluid based on the temperature of the tool tip generated during the machining. Taguchi orthogonal L9 is employed for design of experiments using MINITAB-21. Every experiment was conducted on mild steel work material with use of a tungsten carbide tool insert on the conventional lathe. The best parameter is determined via grey relational analysis. Optimal condition of regulation of coolant with the Cutting Fluid Optimizer (CFO) and non-regulation of coolant with the cutting fluid optimizer are compared. Minimum surface roughness, machining forces, tool–work piece temperature was recorded in case of non-regulation of cutting fluid with the CFO at the cost of the consuming large amount cutting fluid. However, regulation of cutting fluid with the CFO was able to reduce coolant consumption by 15.3% but significantly resulting 3.3 % increase in component of forces, surface roughness and tool-work piece temperature.