1. Make a golf ball-size piece of beige clay. Shape into an oval and flatten until the shape is approximately 1/2-inch thick. Place the oval in the center of the baking dish.
2. For the nose, roll two pea-size beige balls and one slightly larger ball. Press a small ball on each side of the larger one. Press the nose in the center of the oval.
3. Make half a golf ball-size piece of red clay. Shape into a 1/2-inch-thick triangle. Pull and shape one triangle point to form the hat's tip. Bend the tip slightly to the left. Place the hat on one end of the oval and press together.
4. For the hat brim, roll a piece of white clay into a 3-inch long cylinder, approximately the diameter of a pencil. Roll the ends into points. Shape the piece into an arch. Shape each end into a small coil. Press the shape firmly over the area where the hat meets the oval.
5. Make a large white coil for the tip of the hat. Make small white coils for the beard, mustache, and eyebrows, noting the shapes for each in the photograph. Make three small green coils for the hat embellishments. Press coils in place.
6. For eyes, roll two tiny black ovals. Press into place just above the nose.
7. Bend a U-shape piece from a paper clip. Push the ends into the top of the hat, leaving a small loop for the hanger.
8. Bake the ornament in the oven according to the clay manufacturer's instructions. Let cool. Thread an 8-inch piece of ribbon through the paper clip loop. Tie the ribbon ends into a bow. Trim the ribbon ends.