If you have reached level 4 research you will be able to take cotton from the crafting hut to the crafting bench and with the honeycomb create a water filter which you can then take to the reservoir.
Once you get rid of the bear grab the honeycomb and take it to the crafting bench.
Once you have both wheels drag him to the crafting hut to collect a forge bucket and iron to make pins.
If you then drag him again he will build a second water wheel.
After the master builder and villager have dismantled the temporary dam drag the master builder to a pile of wood so he builds a water wheel.
When this has been completed take the master builder and another villager and drag them to the temporary dam at the stream near the apple tree.
Once the trench has been dug you need to collect about 5-10 pieces of redwood and get a master buider to build a dam.
Drop a master farmer on the soft soil that appears to the east and south of where the Kraken was so he can dig out a trench.
Once done drop a master scientist on the observatory and they will research.
If you now drop a master builder on the observatory they will repair and finish the observatory.
Now drop a master scientist on the trunk above the oven so he makes a wooden cog which is then taken to the observatory.
Drop the scientist again so he affixes it to the log.
At the observatory drop the scientist on the mirror so he polishes it.
Afterwards drop a scientist on the crafting hut and select the unpolished mirror so he takes it to the observatory.
Then craft an unpolished mirror in the crafting hut.
Drop two adults on the two statues (sun and moon) so they carry them to the observatory.
After this, you need to drop a master builder on the crafting hut and select bamboo which is then taken to the observatory to create a frame.
Drop two adults to carry the lighter log to the observatory at the top of the map.
Now have a master scientist draw up plans for the framing of the observatory.
Drop a builder on the saw so he goes and cuts a tree trunk lighter.
Take the scientist to the crafting bench.
Once the saw has been made have a scientist look for 2 whale bones in the whale skeleton pond.