I spent some time and arrived at a starting point for you:
function string_compare($string1, $string2) {
        $chars1 = str_split($string1);
        $chars2 = str_split($string2);
        $longer = strlen($string1) > strlen($string2) ? $chars1 : $chars2;
        $shorter = strlen($string1) > strlen($string2) ? $chars2 : $chars1;
        $key_offset = 0;
        $changes = array();
        foreach($longer as $key => $char) {
            #$key2 = $key + $key_offset;
            $char2 = isset($shorter[$key]) ? $shorter[$key] : '';
            if($char !== $char2) {
                if(empty($char2)) {
                    $changes[$key] = array('remove' => $char);
                } elseif(empty($char)) {
                    $changes[$key] = array('add' => $char);
                } else {
                    $changes[$key] = array('change' => $char.' to '.$char2);
                }
            }
        }
        return $changes;
    }
The only drawback, is that it returns the changes on how to get the longer string into the shorter one.
This function chokes, don't use it, sorry.