In this paper, design of an error model is presented in which the bias characteristic of the MEMS IMU is taken into consideration for performance enhancement of the MEMS IMU-based GPS/INS integrated navigation system. The drift bias of the MEMS IMU is modeled as a 1st-order Gauss-Markov (GM) process, and the autocorrelation function is obtained from the collected IMU data, and the correlation time is estimated from this. Prior to obtaining the autocorrelation function, the noise of IMU data is eliminated based on wavelet. As a result of simulation, it is represented that the parameters of error model can be estimated correctly only when a proper denoising is performed according to dynamic behavior of drift bias, and that the integrated navigation system based on error model, in which the drift bias is considered, provides more correct navigation performance compared to the integrated navigation system based on error model in which the drift bias is not considered.