“PowerHouse Latvia” offers a Design Thinking Approach - a structured yet creative framework that enables organizations to co-create solutions with their users. Rooted in user experience research and enriched with qualitative insights, it combines ethnographic methods, in-depth interviews, and AI-enhanced data analysis to uncover hidden needs and motivations. By leveraging AI tools to identify patterns across extensive user narratives, the approach streamlines ideation and prototyping, providing evidence-based direction. It integrates key elements such as AI-driven user journey mapping, co-creation workshops with real customers or stakeholders, rapid prototyping with continuous feedback, and data-driven idea validation to minimize risks. Ideal for organizations facing innovation challenges, this methodology bridges strategy and creativity, ensuring that new products, services, or policies are human-centered, feasible, and scalable - and built on verified user perspectives rather than assumptions.