The James Web Space Telescope (JWST) is a large, infrared-optimized space telescope scheduled for launch in 2011. System-level verification of critical optical performance requirements will rely on integrated modeling to a considerable degree. In turn, requirements for accuracy of the models are significant. The size of the lightweight observatory structure, coupled with the need to test at cryogenic temperatures, effectively precludes validation of the models and verification of optical performance with a single test in 1-g. Rather, a complex series of steps are planned by which the components of the end-to-end models are validated at various levels of subassembly, and the ultimate verification of optical performance is by analysis using the assembled models. This paper describes the critical optical performance requirements driving the integrated modeling activity, shows how the error budget is used to allocate and track contributions to total performance, and presents examples of integrated modeling methods and results that support the preliminary observatory design. Finally, the concepts for model validation and the role of integrated modeling in the ultimate verification of observatory are described.