Just two steps for a new user:
- Add directory entry.
Two steps for an existing user:
- Add/edit directory entry.
This assumes you are using the core WordPress registration process which logs the user in as part of registration. If you opt to use a plugin to handle registration those plugins can add steps such as email verification and admin moderation. So, the number of steps is really depends on what you decide to do to handle user registration.
You do have me a little confused… you initially said “it was working so that if someone signed up and then logged in their account was created in the wordpress users list“. If you had user registration setup and working, why did you remove it? Then you said, “I just didnt think Register on the login form was really obvious for people that needed to register“. If a person does not register first … how would they login? The user would need an account to log in to which can only happen if the user had registered first. Lets put this in a different perspective… You can not log in to Facebook without first registering. After you register, you setup your profile.
In regards to directory entry moderation, this is entirely dependent on the user role capability settings.
Not sure if this helps, but I hope it does. For some reason I have this feeling we’re not on the same page concerning the issue that you’re experiencing.