The document presents a novel three-dimensional adaptive localization (T-Dial) algorithm for wireless sensor networks. The proposed algorithm works in four primary phases: 1) Neighbor formation where nodes broadcast information to nodes within transmission range to form neighbor tables; 2) Group formation where anchor nodes connect to non-anchor nodes to divide the network into smaller manageable groups; 3) Edge node marking where edge nodes on the network boundary are detected and marked; and 4) Localization error correction where missing nodes from initial setup are rediscovered and corrected. Simulation results show the proposed algorithm improves localization rate, reduces localization error, and increases positioning rate compared to existing algorithms.