Homebrew - Morale Mechanic [Long]

[ascendance]

I'm working on an adaptation of the Storyteller system for something that can be best described as gritty anime cyberpunk.

Thus far, I've allowed for user defined abilities and a modified combat system.  Die rolling is done with d10s, and 7s or higher are considered successes, with 10s being rerolled or counting as 2 successes if the roll is in line with the character's archetype.

Combat System

Vitality represents your inherent toughness and ruggedness.  All characters get a starting toughness equal to [Will] + [Body] + [Relevant Ability] + 20.  

Wound Threshold represents your inherent resistance to serious damage, and your body's attempt to resist shock.  It is equal to your [Body] + [Will] + [Augmenting Ability/2].

Morale represents your inherent resistance to serious setbacks in combat and your character's desire to keep fighting.  It is equal to your [Wits] + [Will] + [Augmenting Ability/2].

Attacker rolls [Reflexes] + [Attack Ability] + [Augmenting Ability/2].

If the target has a defense action or an extra action available, the defender may defend.

Target rolls [Reflexes] + [Defense Ability] + [Augmenting Ability/2].

Difficulty increases from cover or maneuvers are applied as bonuses successes to the target's roll.

Subtract the defender's successes and from the attackers.  If the attacker has at least 1 success, then the attack hits.  

Attacks inflict damage equal to the [Attacker's Net Successes] + [Weapon Damage] – [Target's Armor].  Damage is subtracted from the target's Vitality.  When the target's Vitality reaches 0, the target must make an immediate Wound Threshold check with a difficulty of [Number of Wounds Received] + 1 to stay conscious, and must make an immediate Morale check with a difficulty of [Number of Wounds Received] + [Number of Break Points Received] + 1 to keep fighting.  

If the amount of damage inflicted exceeds the target's Wound Threshold, the target suffers a Wound.  Each Wound inflicts a cumulative –1 Modifier to all die rolls, including rolls to stay conscious.  

If the amount of damage inflicted exceeds twice the target's Wound Threshold or more, the target suffers 2 Wounds and must make an immediate Wound Threshold check with a difficulty of [Number of Wounds Received] + 1 to stay conscious.  Each Wound inflicts a cumulative –1 Modifier to all die rolls, including rolls to stay conscious.  

If the amount of damage inflicted exceeds the target's Morale, the target suffers a Setback.  Each Break Points inflicts a cumulative –1 Modifier to all die rolls, including rolls to stay conscious.  

If the amount of damage inflicted exceeds twice the target's Morale or more, the target suffers 2 Break Points and must make an immediate Morale check with a difficulty of [Number of Wounds Received] + [Number of Break Points Received] + 1 to keep fighting.  Each Break Point inflicts a cumulative –1 Modifier to all die rolls, including rolls to stay conscious.  

The idea here is that character's desire to fight tends to end long before they suffer deadly wounds.  I also want people to be taken out of a fight in one shot, but not necessarily killed.  However, I'm a bit vague as to how and where to implement death, or how to implement unconsciousness.  

One some level, the system almost works fine as it is, with death as a side note which can be decided after the fight ends and the people who are unconscious and/or taken out of the fight making die-rolls of various kinds to resist serious debilitating injury and death.