Here is some info on a Filter you can use to help cancel out noise if you are interested:
http://en.wikipedia.org/wiki/Kalman_filter
It is kind of dense and hard to understand, but I think it would be possible to implment if you got some outside help.
You may also be interested in page 668 of this article:
http://robots.stanford.edu/papers/thrun.stanley05.pdf
I think it might be better to get creative and come up with your own way of filtering out noise, you can use multiple sources (Gyro, Encoders, accelerometer) and based on correlations figure out which ones are accurate and which ones aren't