It is useful to set a Radio Name on the radio interfaces because you are able to identify a station in a list of connected clients. A Radio Interface Layer, or RIL, is a specific layer that provides an interface to the hardware's radio and modem in an operating system.
For instance, a good example of an RIL would be a mobile phone. There are different RILs like Android or Windows Mobile. The Android Open Source Project aims to provide an RIL between Android's phone services and the radio hardware.
While for Microsoft's Windows Mobile OS, the RIL aims to enable wireless voice or data apps to communicate via a Windows Mobile device.