An additive manufacturing (AM) system comprising a process distortion compensation computing system configured to determine a digital nominal model that represents a physical target object excluding a distortion, and a digital distortion model that represents the physical target object including at least one distortion. The AM system further comprises an AM peripheral device configured to form a three-dimensional physical object based on a digital compensation model. The process distortion compensation computing system determines a material volume difference between the digital nominal model and the digital distortion model, and generates the digital compensation model that compensates for the material volume difference.