Shipyard 4.0 refers to the application of Industry 4.0 principles to shipyards. To keep up with the challenges, the shipyard industry, like other industries, strives to realize Shipyard 4.0 in its industry. The goal of this study is the creation of an indoor positioning system (IPS) to determine the positions of all assets in the shipyards, such as employees, welding machines, cranes, and carriers, and track their movements using an IPS. Users can use positioning systems to find and track the location of a particular object. The most well-known position tracking system is the Global Positioning System, which is widely used in determining the location and position of objects in the external environment. The GPS for locating and tracking an object indoors is not recommended for indoor use, as indoor signals transmitted from a satellite to a device are weakened by indoor obstructions. Many different IPSs are in development that track and position objects indoors. Choosing the most suitable IPS for a shipyard is a multicriteria decision problem. A combined AHP and PROMETHEE method is proposed in this study to determine which IPS technologies would be most suitable in shipyards. In the literature review, it is shown that the AHP and PROMETHEE methods are used separately or together in solving problems in many areas. However, no study has been conducted in which the AHP and PROMETHEE methods are used together for the IPS selection problem. For this purpose, an application of the proposed method in IPS selection and evaluation was carried out at the SEDEF shipyard, and the most suitable technology was determined by evaluating different IPS technology options.