1) Water comes in.
2) Dishes get washed (suds)
3) No rinsing appears to be happening.
4) More water comes in.
5) Continues to wash.
6) Water overflows.
7) Continues to wash.
8) Only drains when knob is manually advanced.
Seems like a problem with the timer. To get from wash to drain, several contacts in the timer have to change. The timer mechanism may have worn so it is unable to pull the knob past that section of the rotation.
Try it again but when turning the dial manuallly, turn it only a minute amount and wait long enough to conclude it is still stuck before turning it a minute amount again. Then how many times do you have to turn the dial manually to complete the cycle?
Having the water overflow onto the floor is a separate problem. There should be a float inside that prevents more water from being added when the quantity of water already inside reaches a certain level. Alternatively you may have used too much detergent and it foams more than it is supposed to which causes overflowing.
Do you get coverage you can count on? From the bag of fertilizer? From your lawn sprinklers?