The present invention relates to a system and method for network bandwidth sizing at a branch level by considering both sizing for throughput and sizing for response times. The invention provides a system and method for bandwidth allocation by performing network capacity planning by applying a model based on Approximate Mean Value Analysis (AMVA). The invention also relates to system and method for bandwidth allocation by performing network capacity planning especially for large enterprises having heavy workloads and diverse applications by applying a model based on Approximate Mean Value Analysis (AMVA).