An apparatus includes a handheld tool for executing an assembly process within a confined work space. A local positioning module (LPM) is connected to the tool to collect raw data describing motion of the LPM and tool within the work space. A control unit communicates with a host machine and the tool, and updates an assembly setting of the tool. The host executes a control action when a position determined using the raw data is not equal to a corresponding position in a predetermined sequence. A method calculates the present position of a handheld torque wrench using three gyroscopes and three accelerometers, and calculating a present position of a fastener using the present position of the tool. The present position of the fastener is compared to a corresponding position in the predetermined sequence, and the torque wrench is disabled when the fastener position is not equal to the corresponding position.