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Prep and Season: Preheat your oven to 350°F (175°C). In a shallow dish mix the flour, garlic powder, onion powder, paprika, salt, and pepper. Dredge each piece of cube steak in the flour mixture, ensuring even coating. Shake off any excess.
Sear the Steak: Heat butter in a large skillet over medium heat. Sear the steaks for 2-3 minutes on each until golden brown. This step locks in the flavor, but doesn't cook the steak through.
Assemble and Bake: Place the seared steaks in a greased 9x13 inch baking dish. Layer thinly sliced onions over the steaks. In the same skillet add the butter and beef broth. Whisk in the Worcestershire, ketchup, and Dijon mustard. Lastly, mix together the cornstarch with a little water and pour into the beef broth. Simmer until thickened. Pour the gravy over the steaks, ensuring they are fully covered.
Baked to Perfection: Cover the dish tightly with foil and baked for 1.5 to 2 hours, or until the steak is fork tender. Remove from the oven, uncover, and let rest for 5 minutes before serving.