The recently discovered self-heating lithium ion battery has shown rapid self-heating from subzero temperatures and superior power thereafter, delivering a practical solution to poor battery performance at low temperatures. Here, we describe and validate an electrochemical-thermal coupled model developed specifically for computational design and improvement of the self-heating Li-ion battery (SHLB) where nickel foils are embedded in its structure. Predicting internal cell characteristics, such as current, temperature and Li-concentration distributions, the model is used to discover key design factors affecting the time and energy needed for self-heating and to explore advanced cell designs with the highest self-heating efficiency. It is found that ohmic heat generated in the nickel foil accounts for the majority of internal heat generation, resulting in a large internal temperature gradient from the nickel foil toward the outer cell surface. The large through-plane temperature gradient leads to highly non-uniform current distribution, and more importantly, is found to be the decisive factor affecting the heating time and energy consumption. A multi-sheet cell design is thus proposed and demonstrated to substantially minimize the temperature gradient, achieving 30% more rapid self-heating with 27% less energy consumption than those reported in the literature.