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Using your storyboards and a physical sketch as a guide, you create rough sets with primitive objects to give your characters references for their actions during animation. A template file is created that will serve as the basis for all the shots in the scene. The template scene file contains the rough sets linked in as whole scenes and any props and characters that are available linked in as dupligroups.
Cameras are added and synchronized with the story reel, while markers are placed in the timeline to help with future organization. The character models are moved around to roughly follow the storyboarded action.