The geometric modeling may be divided into two categories, namely, rigorous sensor model (RSM) and rational function model (RFM). The former one contains Bundle Adjustment and Direct Georeferencing. This paper combines Direct Georeferencing and RFM for multi-sensor block adjustment. Two heterogeneous models with Digital Elevation Model (DEM) as elevation control are integrated. The test data set includes QuickBird and IKONOS satellite images. The major works of the proposed schemes include (1) building up Direct Georeferencing mathematics, (2) setting up RFM, and (3) compensating the local systematic errors by least squares collocation. The experimental results indicate that the proposed scheme improves the geometric consistency between image strips.