Think about traffic areas and the most likely paths people will use. Then sketch a basic landscape plan by blocking out the areas suited to your activities and needs. Note that different parts of your yard may have different climatic characteristics. For instance the south side probably has a warmer microclimate than the cooler north side. West sides typically get lots of hot afternoon sun and are well suited for arid landscaping.
East sides offer better environments for oasis zones.
Talk to nursery or landscape professionals about what time of year is best to remove turf and set new plants, and how much water is needed the first two years to get plants established. This is the establishment period for your new xeriscape. It's also the time to introduce new design elements, work into Zone 2, and convert another section of your landscape to xeriscape. If Year One was used to establish perennials, add some annuals this year to fill in the space while perennials get established. Add more mulch.