From Mods Repository Wiki
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Extracting Models from the iwd files
Radiant users must extract the xmodel folder from iw_13.iwd for radiant to show the list of models. You can place models in Radiant without doing this but you would have to manually type in the model name. Extracting this folder allows you to browse for models instead of having to type in a name.
IWD files are the same as a zip file, so you should be able to open them using any unzipping utility. Depending on what unzipping utility you use, you may need to rename the extension to .zip to extract. Be sure to change it back to .iwd after you extracted the xmodel folder if you changed it or else the game will not load all of it's files.
The xmodel directory you extract should be placed inside the 'main' folder of the game's install path.
For example '
C:\Program Files\Activision\Call of Duty 2\main\xmodel\' should contain all the extracted model files.
Level editor. Create custom .map files for single player or multiplayer.
On running CoD2Radiant for the first time, you will need to load the included cod2.prj project file which is located in "\bin".
The CoD2 effect editor. Create and modify your own effects.
On running CoD2_EffectsEd for the first time, you will be asked to browse to the location the game is installed. The default location is "Program Files\Activision\Call of Duty 2".
Graphical UI tool that is handy for compiling and running maps.
On running CoD2CompileTools for the first time you must click the "browse" button in the upper left corner and browse to the location the game is installed. The default location is "Program Files\Activision\Call of Duty 2".
Tool used for adding/modifying assets to the game. See the included Maya documentation for sample usage.
compiles the .map file and creates a .d3dbsp. Referenced by CoD2CompileTools.exe, but can be called manually as well.
calculates lighting for a map and writes to the .d3dbsp. Referenced by CoD2CompileTools.exe, but can be called manually as well.
Converts data from asset manager to game data. If you add something to asset_manager, you must then run converter before seeing your assets in the game.
In here you will find the Maya 6 model and animation export Plugins. See the Maya documentation for information on how to setup these Plugins with your Maya software.
This is where collision map files are stored. Their filenames correspond to the xmodel name in the xmodel folder.
By default, static models do not have collision, they get their collision data from these collmaps that we have made.
CoD2_EffectsEd looks in this folder for effectsEd_box.d3dbsp which is the bsp the editor loads. You can replace this bsp with another if you'd like CoD2_EffectsEd to use a different bsp.
We have included the source for two official maps, and this is where they are located, along with all the prefabs they reference. There is also a multiplayer test map included which contains the basics for any multiplayer map that can be helpful for testing.
The base character and hotbox model is located here. See included Maya documentation for explanation of this.
Sources: Infinity Ward Docs