To configure parameters in the parameter palette, you must first create a parameter palette.
You can create the parameter palette as follows.
Here we add a parameter palette to a Cue.

Select the Cue in the project tree to which you want to add the parameter palette.
Select [New Object]-[Create Param Palette] from the context menu of the Cue to create the parameter palette.
The parameter palette you just created is added under the Cue in the project tree.