There are two kinds of Modding which I like to call Styling and Sculpting.
Styling is taking a pony, re hairing it, re dying it and repainting the symbol to create essentially, a new kind of MLP (see image below from Minty's Custom Persuasion) http://www.cloverflowers.com
Sculpting is taking a pony, removing all the hair, and then using it to create an entirely new kind of thing, sometimes a parody (Iron Man, Jack Sparrow and many of the X Men are common features of the sculpting world) and sometimes something of your own imagining.
In this tutorial I shall be making an inbetween sort of pony, who still looks like a horse, but with many sculpting elements, a First Nations Warrior.
Step 1: Choosing and Preparing Your Pony
Hair: hair can simply be sheared off at the roots, though if using a new style "i turn my head" pony I like to take of the head and pull all the hair out. This is not nessesary and for this pony I didn't do it as the head was very well stuck on and I didn't feel much like slicing it off just for the sake of some roots.
This is all you really need to do, but as you can see, I also removed the markings with acetone (nail varnish remover) in order to start with a clean slate. I will also be re painting the eyes for this pony.