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In this video tutorial, the mentor demonstrates how to create a certificate design in Microsoft Word. The first step is to open a blank document and set the orientation to landscape with a page size of four. The margins should be set to zero, and a rectangle shape is drawn and modified. The outline color is removed, and the shape is bent to create a chef hat design. Gradient colors with RGB values are applied to the chef hat shape, adjusting stop points and direction to create a gradient effect.