Pound steak to flatten. Cut steak into 2 inch strips. Roll in flour, salt, and pepper. Add olive oil to hot frying pan; brown meat on both sides. Reduce heat to simmer; add herbs and 1/2 cup water and steam for 20 minutes. Add remaining water, wine, and mushrooms and cook 20 minutes more, or until tender. Check periodically, adding more water if needed. Remove meat from pan and add 1 to 2 tablespoons flour if necessary to thicken gravy.
Serve with rice or noodles.