He is a puppy - he likely won't listen reliably for a very long time. Do you expect a toddler to catch on in a snap? You just have to get over the idea that he will immediately become a model citizen. It requires months/years of training, patience, reinforcement, and consistency.
Redirect with a toy or game. Make it fun - most people don't play tug right so the game is not as interesting as your moving parts. Read those tugging threads - watch people tug the right way. Engage the dog actively so he is not as likely to act out negatively.
Does she actively train with him?
3-4 hours in a crate is nothing. Don't treat him like a human being - he is a dog. He needs to be crated or kenneled when you are not actively engaging him. He is showing you loud and clear that he is not ready for this much freedom. My dogs are in the crate or run if they are not being worked - the one or two "house dogs" have earned that privilege. I have a 15 week old - guess where she is right now? Crated and snoozing peacefully. In another half hr, we will go do some tracking and take a hike. Afterwards, she goes back in the crate. Routine - rules - consistency - patience. Don't blame him for your shortcomings.