Here's another, similar object:http://tinypic.com/axyzwh.jpg
I took the photos when visiting a collector in Scotland. In this one, the canes are certainly Strathearn and as with Ray's piece, the canes are on the surface. Also very small (although I can't recall right now what the exact size was). Note the very neatly worked "shank".
Opinions were sought as to what this could be and two suggestions were offered, "Cane Top" or "Hat Pin End". Seems to make sense, but is uncorroborated.
Ray's example (whatever it really was supposed to be) looks as though it was not made with any grinding or shaping of the "shank" in mind. I say this because the stem portion is deliberately decorated in white stripes which suggests it was supposed to look like that - not to be ground away. On the other hand, if the stem was supposed to be inserted into a Cane, why make it with that part decorated at all, let alone with the nice touch of white striping???