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Building 'schemes' through direct interaction with environment is known as : 
1. Organisation 
2. Equilibration 
3. Adaptation 
4. Ego-centricism 

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Correct Answer - Option 3 : Adaptation 

Piaget was the first psychologist to make a systematic study of cognitive development.  His contributions include a theory of cognitive child development, detailed observational studies of cognition in children, and a series of simple but ingenious tests to reveal different cognitive abilities.

Basic Components of Piaget's Cognitive Theory: Piaget introduced some basic components which lead the cognitive development in the child.

  • Schemas: Piaget called the schema the basic building block of intelligent behavior – a way of organizing knowledge. A schema can be defined as a set of linked mental representations of the world, which we use both to understand and to respond to situations.
  • Adaptation: Adaptation is a process through which living beings adjust to their environment. Building 'schemes' through direct interaction with the environment is known as adaptation. It consists of two complementary activities: Just as human beings adapt to the environment, their thinking also adapts to the changes they experience. Two basic processes are involved in adaptation: assimilation and accommodation.
  • Assimilation takes place when people try to understand something new by fitting it into what we already know.
  • Equilibrium: Piaget believes that the balance between these two activities varies over time and eventually they reach equilibrium. If the "new situation" is adjusted with the existing schema then that stage is referred to by Piaget as the "stage of equilibration" in that the existing knowledge base is working.
  • Organization on the other hand refers to the process that takes place internally and apart from the direct contact from the environment. 
  • Ego-centricim: Piaget believes as the child grows his thinking changes, i.e. from being egocentric to less egocentric to flexibility in the idea of morality.

Once children form new schemes, they rearrange them and link them with another set of schemes to​ generate a strongly interconnected cognitive system. For example, a child who drops and throws toys will eventually associate these activities with nearness and farness.

Hence, we can say that building 'schemes' through direct interaction with the environment is known as Adaptation.

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