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The video tutorial demonstrates how to use Excel's drawing tools, which can be used to create various shapes, flowcharts, call-outs, arrows, and basic shapes. By clicking on the insert tab, users can access these tools without needing a separate program like Visio. The tutorial shows how to draw a box, change its color, add text, and format the object by right-clicking on the border. Excel provides a simple and convenient way to create charts and diagrams.