An optical master is created by using a nanoimprint alignment layer to pattern a liquid crystal (LC) layer. The nanoimprint alignment layer and the LC layer constitute the optical master. The optical master is positioned above a photoalignment layer. The optical master is illuminated and light propagating through the nanoimprinted alignment layer and the LC layer is diffracted and subsequently strikes the photo-alignment layer. The incident diffracted light causes the pattern in the LC layer to be transferred to the photo-alignment layer. A second LC layer is deposited onto the patterned photo-alignment layer, which subsequently is used to align the molecules of the second LC layer. The second LC layer in the patterned photo-alignment layer may be utilized as a replica optical master or as a diffractive optical element for directing light in optical devices such as augmented reality display devices.