Method for tuning a multistage etalon tunable dispersion compensator (TDC) wherein the TDC comprises at least two etalon stages, the method comprising the steps of transmitting an optical signal through the TDC while controlling the temperature of each etalon stage at a first temperature, then changing the temperature of at least some of the stages to a second temperature to produce a temperature change and a dispersion change, wherein the temperature change occurs over a time period D, and wherein during time period D the temperature change is continuous and monotonic, the dispersion change is continuous and monotonic, and the optical signal does not go through periods of incremental impaired quality, and wherein the TDC is the product of a method of characterizing the surface reflectivity, cavity free spectral range (FSR), and group delay offset and slope of each etalon stage as a function of wavelength and temperature over one or more free spectral ranges, and correlating the resulting data with a series of target dispersion values.