Viewing the process as a whole, ignoring the extraneous dye and stamps; it’s a pretty simple to make usable:

  1. Mix fat with sodium hydroxide.
  2. Solidify soap into shape suitable for compaction (in this case, ribbons).
  3. Repeatedly compact shaped soap into desired shape.

How efficient and usable would the soap be if it was just sold as cut ribbions, instead of bars?