What is the purpose of the totem of hircine

Check the wiki:

http://uesp.net/wiki/Skyrim:Totems_of_Hircine

My kind of thread.

http://uesp.net/wiki/Skyrim:The_Totems_of_Hircine

Basically, it enhances a werewolf's power. In the ancient times where native men and women ran free, Hircine granted the gift of Lycanthropy to mortals, and thus offered Totems that would enhance their powers in the hunt. So far, we know of four totems. Three are in the game; Totem of the Hunt, Totem of Brotherhood and the Totem of Fear. There is also the Totem of Claw and Fang which can be used in the expansion pack for Morrowind called "Bloodmoon."

Just go at the underforge, choose one, then as a werewolf...just shout and it is different...