An ancient mechanism used by priests for making decisions, much like flipping a coin. However, rather than being random, it was believed to be an answer from God on matters that could otherwise not be answered.
http://bible.gospelcom.net/cgi-bin/bible?search=Urim
Yes, but what IS it?
(y´rm, thm´m) (KEY) , in the Bible, name of sacred instruments used for casting lots. The meaning of the two names is uncertain, as is the nature of the lots. They were in some way connected, however, with the ephod. -- The Columbia Encyclopedia, Sixth Edition
This entry in the Catholic Encyclopedia offers much speculation on what the Urim and Thummin actually were, but reaches no conclusions: http://www.newadvent.org/cathen/15224a.htm
Some religions (in this case LDS or Mormons) also believe that a Urim and Thummim could be used to translate and give insight (ie Revelation).
See... http://deseretbook.com/scriptures/dc/dc10.html
http://deseretbook.com/scriptures/dc/dc17.html
http://deseretbook.com/scriptures/bom/ether/ether3.html
http://deseretbook.com/scriptures/bom/ether/ether4.html