In recent years, due to the increasing demands of government for forest development in ecology, economy and social effects, the objective of flatland forest resource operation is different from that of traditional forestry, and the operation model has to turn to the sustainable utilization of multi-objective effects. In this study, domestic wood is used in design incorporated with the cooperation of industrial and academic sectors in the effort to develop products of good quality based on processing techniques of wood and aesthetic of product design for the improvement of the added values in domestic wood design and industrial competitiveness. The three results were found from this study: (1) incorporate the cultural features of Shitou in innovative design for better added values in product development; (2) we can create more plentiful elements by the analysis of bionic form design to apply in the development of innovative product design; and (3) enhance the new idea of design and development of sustainable forest products through the development and design of domestic wood.