The shaping for this in Raglan style forms the shape of a tent kinda... think baseball tees. The stitches where the shoulders and outside of the arm are are decreased out of existence, making the shape.
The front and back is knit seamlessly on a circular needle, making it a tube. The sleeves are both knit separately on dpns (double pointed needles) and united with the body with one long circular needle.
Stitches on hold get grafted at the very end, these are the only stitches not worked when joining the arms to the body which also has stitches on hold. All foxy and diametrically opposed and what not.
The Shaping goes like this: All four spots of the sweater are marked way ahead of time. Make a few inches of knitting right after joining the arms, right?
Then work up to *2 sts (stitches) before marked stitch K2TOG, K the marked st, SSK.*
Knit around that piece and repeat ** that way of decreasing right before you hit each marked stitch. Then knit around plain... then decrease as so again. BOOM. RAGLAN SHAPING
It's pretty, huh?