Punch out decorative shapes with the paper punch.
Apply hot glue around the edges of the hole in the parchment shade.
Press the paper shape gently onto the hot glue and immediately wipe away any excess glue that oozes out from behind the paper shape.
Cut rectangles of color-coordinating craft paper. How many you need will depend on the size of your shade and how big you cut the rectangles. A random effect looks good, and by folding the edges of the rectangles over the top and bottom of the parchment shade, you can fit the rectangles by eye to make an effect that you find pleasing.
Apply a decoupage medium to the back of the decorative-paper rectangles. Work on one rectangle at a time, first applying the glue and then sticking the paper to the shade to cover the holes.
Overlap the rectangles so no gaps are showing between them. Smooth out any air bubbles by gliding your fingers gently across the shapes with one hand while supporting the shade from the inside with the other hand. Continue to stick rectangular paper shapes over the shade so that all the holes are covered.