In decoherence theory, the basic situation is the following (I illustrate with two level system for simplicity). I want to measure a system $S$ by the mean of an apparatus $A$. Around it there is the environment $E$.
I assume the system is initially in $|\psi_S \rangle = a |0 \rangle + b |1\rangle$, the apparatus and environment in a state $|0\rangle$
The first step if the pre-measurement: system and apparatus get quantum correlated:
$$|\psi_S \rangle |0\rangle |0\rangle \rightarrow \left( a|00\rangle + b|11\rangle \right) |0\rangle $$
The second step is the correlation with the environment:
$$\left( a|00\rangle + b|11\rangle \right) |0\rangle \rightarrow a|000\rangle + b|111\rangle$$
Tracing out the environment, we find the good mixed density matrix for system-apparatus:
$$\rho_{SA}=|a|^2 |00\rangle \langle 00| + |b|^2 |11 \rangle \langle 11 |$$
My question
In decoherence theory, as far as I understood there is no need for a collapse: all the measurement can be done based on unitary dynamics as I showed. However what disturbs me is that in practice, the experimentalist will either find $|00\rangle$ or $|11\rangle$ (with probabilities $|a|^2$ or $|b|^2$).
But if there were no collapse: what does the final global state becomes ? Is it still in $a|000\rangle + b|111\rangle$ ? I would find it weird because we now know that $SA$ is in $|00\rangle$.
Then is it now in $|000\rangle$ ? If it is the case it means a collapse occured on the system $SAE$.
I am confused.
About the bounty: In the comment it appears that indeed decoherence theory doesn't say anything about when I will have read the outcome (if I find $|00\rangle$, what will the environment state be).
However what confuses me is that taking a system composed of three photons, we know for sure that if the two first are in $|00\rangle$ the last one will be in $|0\rangle$ if the initial state was $a |000\rangle+b|111\rangle$. The entanglement will be completly broken basically. And it seems to be a missing explanation from decoherence.
What I want to be 100% sure about is that indeed decoherence doesn't explain this. I would like to see a clear source in which this specific issue is stated, and where it is said it does'nt solve it. In many sources we can see that it doesn't solve the measurement problem but it is very vague. If it means that it doesn't explain the origin of probability only it doesn't mean it would'nt solve this problem.