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Dynamic positioning (DP) is a computer controlled system to automatically maintain a ship’s position and heading by using her own propellers and thrusters. Position reference sensors, combined with wind sensors, motion sensors and gyro compasses, provide information to the computer pertaining to the vessel's position and the magnitude and direction of environmental forces affecting its position.

The computer program contains a mathematical model of the vessel that includes information pertaining to the wind and current drag of the vessel and the location of the thrusters. This knowledge, combined with the sensor information, allows the computer to calculate the required steering angle and thruster output for each thruster. This allows operations at sea where mooring or anchoring is not feasible due to deep water, congestion on the sea bottom (pipelines, templates) or other problems.

Dynamic positioning may either be absolute in that the position is locked to a fixed point over the bottom, or relative to a moving object like another ship or an underwater vehicle. One may also position the ship at a favourable angle towards wind, waves and current, called weathervaning.

Dynamic positioning is much used in the offshore oil industry, for example in the North Sea, Persian Gulf, Gulf of Mexico, West Africa and off Brazil. Nowadays there are more than 1000 DP ships.