Hi
I don't use AF decon products but use Tardis and IronX which do same job as Oblitarate and Iron out.
The decon process is as you state and though not always necessary to dry the car in between all the decon stages, if you have hard water I would advise drying in between each stage, otherwise you might get water spots which clay doesn't always remove. So process something like this:
Pre wash (snow foam)
Wash and rinse car, dry if required
Apply Oblitarate a panel at a time (leave 1 minute) wipe off with a microfibre, then rinse panel at a time
All over rinse or wash/rinse if preferred, dry if required
Apply Iron out a few panels at a time (leave 5-10 mins), agitate if required and rinse off
Wash and dry car
Clay
Wash thoroughly and dry (snow foam pre wash optional)
Polish
Preferred last stage protection LSP, which may include one or more of the following:
Sealant
Glaze
Wax
Don't bother washing the micro fibre used on the Oblitarate as it will stink out your washing machine and subsequent washes, just chuck it away, in an outside bin.
Hope this helps. Not used Tough Coat so can't comment