0. use aerating faucet head to increase spread of water.
1. Short splash of cold water to remove stuck-on food, letting it sit if needed.
2. Wash with detergent on wet sponge, no added water.
3. Rinse with cold water, low water volume, with stacked dishes below faucet so that water from the rinse is rinsing dishes below as well.
I've never measured how much water is used, but I would think that it's fairly competitive against a dishwasher.