The Stepper motor on the back, has a retaining ring and set-screw, if you loosen the screw, lock ring, the motor will "physically turn" This adjusts track alignment.
You adjust this stepper motor as a LAST RESORT, and it should be done with the assistance of a scope and a properly formatted aligned floppy diskette.
You adjust the stepper motor until the analog waveform from the pickup heads is at its maximum amplitude. Careful, you dont wanna jump tracks! You need a high impedance probe, as the loading can cause problems. But your still looking for maximum amplitude of the pickup signal. If a lower impedence scope is the only thing you have, you could possibly tap into the signal on the output of the head amplifier. where that is on that drive I dont know.
Floppy drives that read, but do not write or fail to format (rare) is caused by a lack of BIAS drive.
your supposed to have a special floppy diskette that is recorded with a specific signal, so you can pick up signal distortions, and other types of motor flutter and head wear. But eh, we can wing it without it.