It is obviously some kind of precision tool like a 3 dimensional plotting tool. If it used in surgery to extract something, I'm guessing that it was used to map the entry trajectory of a gunshot wound so it could be removed safer?
Bullseye... Its called a Hirtz Compass and was developed and used in WWI to help Docs figure out where the bullet ended up and removed without causing any additional trauma. They would use this in conjunction with X-rays to determine exactly where to cut to remove the bullet.