Kireol,
I know exactly what you're saying. I used to slavishly follow bread recipes, precisely because I had no understanding of what was going on. The past two years I've gotten seriously into bread making, and there's a world of difference.
That's why I recommend the BBA so strongly.
Now then. Your "recipe" is why we don't depend on memory.
A couple of problems with it. First off, the recipe no doubt calls for 2 teaspoons of yeast, not two packages. A package is 2.25 teaspoons, roughly. So you'd be doubling the yeast. For those ingredients, a package is ok. Two packages is way too much.
There is never any reason to let yeast bloom for 30 minutes, and, in fact, you could actually lose it that way. Yeast is bloomed, in general, for 3-5 minutes in plain water. Sometimes a sugar is added to provide additional food. As soon as the yeast is frothy and bubbly it's ready to go.
With active dry yeast you bloom it. With instant yeast (aka Bread Machine, Saf, and a couple of others) you can add it directly to the mixture.
As I mentioned originally, switch to bread flour instead of all purpose.
Next, as others have indicated, forget about the clock. Let the dough tell you what it needs. When you first mix the ingredients, two minutes is an ok guide. The dough should form a ball, and leave the sides of the bowl (but not necessarily the bottom.)
After the rest, feel the dough. It should be slightly tacky, but not sticky. If it is, add a little more flour as you knead it. The kneading, with the KA, should be at a faster speed, the #2 setting. Periodically feel the dough, adding more flour if needed, in small amounts. (conversely, if it's too dry, add a little water--no more than a teaspoon at a time).
Seven minutes kneading sounds a bit high for that dough, too, and you may be overkneading. Try cutting it back to four minutes.
After kneading, form the dough into a ball, put it in an oiled bowl, and cover with film or a towel. Let rise until doubled in size (which might take 1 to 2 hours. 3 hours sounds a little excessive).
Next, form your loaves or shapes, degassing the dough as little as possible. This is counter to many recipes that tell you to punch down the dough, but don't.
Put your shaped dough aside to proof until it's again doubled in size. If using loaf pans it should extend about an inch higher than the edge of the pan.
Then bake.
If you decide to use a steaming process, start at 500 degrees, then lower the oven to 450. Otherwise you'll cool things down too quickly.
Hope this helps.