
"The goal of the book is to introduce designers to the many research tools that can be used to inform design as well as to ideas about how and when to deploy them effectively. Interspersed throughout the book are "demos," snapshots of the design research experience, Design Research charts the paths from research methods to research findings to design principles to design results and demonstrates the transformation of theory into a satisfying and more reliably successful practice."--BOOK JACKET.
"Thoughtless Acts" by Jane Fulton Suri is one of the best. Pages and pages of photos of objects as they are actually used, rather than what they were designed for, gives deep insights into use.
"Design Research" by Brenda Laurel is an exhaustive collection of design methods, which you can pick from to solve almost any specific design problem.
In my opinion, those two books and The Design of Everyday Things are all anyone needs to know in order to be a better interaction designer than 99.9% of professionals.
Finally, towards the very end you might do a few variations within your fully realized native app, but that kind of prototyping is extraordinarily expensive and 90% of your design questions should be answered by that point.
The output of a good design process should include dozens of vastly different looking prototypes, in totally different mediums, each of which helped answer key design questions.
A good introduction to this's stuff is Rogers, Preece and Sharp's "Interaction Design". My personal favorite for diving into the breadth of design techniques is Brenda Laurel's "Design Research".