Abstract: A navigation system and method for gyrocompass alignment in a mobile object. The system includes an inertial measurement device configured to provide a first set of sensor data and a positioning unit configured to provide a second set of data. In an example embodiment, the navigation system includes a processing device configured to receive the data sets provided by the inertial measurement device and the positioning device, and the processing device is configured to dynamically calibrate the received first data set the processing device includes a Kalman filter, and the processing device is further configured to generate a gyrocompass alignment using the first dynamically calibrated first data set, the second data set, and the Kalman filter. The method includes receiving sensor data from a plurality of sensors, dynamically calibrating at least a portion of the sensor data, and generating gyrocompass alignment information based on the dynamically calibrated sensor data.