Hi my name is RV and I posted here earlier regarding my design for a similar engine that hopefully integrates tactics combat (Final Fantasy and Ogre Tactics game-play) with traditional role-playing game concepts into one engine. I have tried my best to simplify by earlier design concentrating more on character fist rather than combat rules. Basically the engine depends heavily on game-play settings for its true prowess. The setting determines the kind of skills, troops, and possible characters the players may have fun with.

I have listed below a summary of my current concepts and hope to receive helpful insights from you all.

The characters all have three aspects that determine them. MIND, BODY, SOUL.

The body includes all physical capabilities of a character. The mind includes all the mental capabilities. The soul includes all the spiritual capabilities. 

The body has a few attributes that are associated with it. They are Senses, Appearance, Toughness, Power, Dexterity, and Agility. The senses are your character's ability to perceive normal things; Appearance is the level of the character' looks, Toughness is the ability to withstand death, pain, and fatigue; Power is the physical strength; Dexterity is the ability with one's coordination; and Agility is the character's body speed.

The mind has

Will - Ability to withstand mental strain.
Intelligence - Ability to memorize and one's potential for learning.
Charisma - Ability to affect people with speech or actions.
Psychological Archetype - This requires the complete definitions and rules:

This is your characters psychological summary in a few words. They harder to change. They are the personality traits of a character.
The player ranks them similar to conscience. They may only be modified by events during game-play that people dub “life changing”.
They affect choices the characters’ make during game-play. They have similar rules to CNS.
Sane and insane have a separate ranking meter from the other traits. They are either 1 or 0, sane or insane. This is modified by game-play events that affect the character’s mind.

The Soul has
Life Force - The amount of spiritual energy that keeps one soul with one's body.
Foresight - This functions like wisdom. The ability to perceive the unnatural, and ability to analyze the illogical.
Conscience - Requires full rules:

This is your character’s inclination to Good, Evil, Apathy, Chaos, Order or Sympathy.  Every character has this and the player is to rank each inclination from 1 to nine. The highest being the most probable inclination at a given time.
Characters’ are given choices at various times in a game. The choices are marked with inclination ranks which the character has to fight against. The player may choose to decide for the character but there are penalties involved if the character is more inclined to choose one choice more than the choice the player chose.
e.g.
A character is given a choice between a bad and good choice. The player has a rank of 9 in good and a 1 in bad. The two choice have a rank of bad[9] and good[1]. The character by default chooses the good choice but if the player chooses the bad instead the character incurs a penalty which depends upon the GM to determine.
Inclination also changes. The system is simple. The more the character chooses to do a choice of higher rank more than its opposite, it does not change. The more a character chooses a choice of lower rank than its opposite, it gains the opposite choices rank. How much more depends upon the GM. By default if a character chooses a hundred more choices it changes.
e.g.
A character has god[9] and bad[3]. The character chooses bad choices more than good choices. The inclination becomes good[3] and bad[9].

this is a great setup. i can see you put alot of hard work into it and it seams that it'll be a very good game.

my suggestion, (since it depends so heavily on setting.) is to set up a universe. nothing to fancy, typical tolkein-esc world will do. and just base alot of settings on that. something to at least begin play testing. heck it could be a setting with hyperactive belt sanding weasals. but it gives you a basis to build up your games library of senarios to run with.

good luck and i look forward to seeing a good game come out from your direction.

cheers!

Thanks. I was hoping to create a Full Metal Fantasy world with Final Fantasy inspirations. Hopefully this engine will be flexible enough for any setting, like Naruto or Bleach.