That's my version of the Horadric Cube, or at least one level of it. Harvesting a tree now yields a Stack of Wood that is a one-use item which, when used, erects a Crude Workbench. Crude Workbench is the first level of crafting bench, currently providing 4 slots but probably eventually providing only 2. Workbenches can be Dismantled (that is the D button next to the Close X at the top of the widget) if they are empty, breaking them down into their constituent kit so the player can relocate camp if he has to.
Currently, different types of Workbenches can have different types of recipe tables associated with them. Campfires will work as one type of work bench, accepting uncooked food supplies and crafting prepared meals. The Crude Workbench is another. Then maybe a Writing Table type, for penning scrolls and books, etc... Eventually, your wizard is going to have to build a fully stocked and equipped magical laboratory in order to progress.
I did up a quick Flint Deposit resource type to provide flints so now I have two basic resource types. (The flint deposit graphic looks like ass; I was in a hurry). Now I get to start hammering out the best way to handle crafting recipes.