there are a few ways to make these reduction guides. it depends upon how many teeth are being prepared, anterior or posterior, type of coverage desired, etc.
the article doug posted is a good one. like marcus said, reduction models are a good help too. i usually include a matrix for temps as well....giving the doctor the proper temps for the diagnostic and letting the patient "try out" the wax up for comfort and look.
then when you get the prepared impression, you can use the temp matrix (or another) to compare and be sure the doctor has proper reduction. and i always tell them up front that i will be doing this. that way its not a surprise if i call and tell them they should reprep here and there due to design/clearance/etc.