A method is provided for a virtual sensor system. The method may include establishing a first process model indicative of interrelationships between a plurality of input parameters and a plurality of output parameters and establishing a second process model indicative of interrelationships between at least the plurality of input parameters and modeling errors of the first process model. The method may also include operating the first process model to generate values of the plurality of output parameters and simultaneously operating the second model to generate estimated deviations between the values of the plurality of output parameters and desired values of the plurality of output parameters. Further, the method may include compensating the values of the plurality of output parameters with the estimated deviations to generate the desired values of the plurality of output parameters.