Place the plywood panel flat on a work surface. Draw a decorative design onto the panel with a pencil and flexible curve ruler.
Cut out the outside edges of the design on the panel using a jigsaw. Guide the saw along the lines in an even motion just fast enough to allow the saw blade to cut the wood.
Drill a 1/2-inch diameter hole through the center of any inside areas of the panel design that must be cut out, using a drill equipped with a 1/2-inch bit. The hole will enable the jigsaw blade to access the inside areas of the panel and allow you to cut the designs out.
Slide the jigsaw blade through each hole you drilled in Step 3 and saw out the designs on the inside of the panel.
Sand the cut edges of the panel with a fine-grit sanding pad until they're completely smooth. Wipe off the panel with a tack cloth to remove the sanding dust.
Brush on two coats of paint using a paintbrush. Allow the paint to dry at least four hours between coats. Allow the final coat to dry 24 hours before you handle the panel.
Slide a stud finder across the wall in the approximate desired location for the panel. Mark the location of the two nearest studs with a pencil.
Center the plywood panel over the marked studs at the desired height. Place a level across the top of the panel and adjust it for level.
Drive a decorative head wood screw through each corner of the panel into the wall studs with a screw gun to fasten it to the wall.