No, they are both used in every combat. When determining a single unit's morale damage you subtract the defending unit's defensive morale pips from the attacking units offensive morale pips (and then add the other dice modifiers, then determine base casualties, then multiply those by half a dozen factors to get the actual morale loss, but let's not get too technical

). The same is true for a seperate calculation on shock/fire for actual casualties.
That means, that the yellow and green dot, counts both in one fight ? are there
offense and defensive turns +
shock and fire turns in one fight, on a rotating basis ?
I thought the yellow counts only if i attack a province, so the green never counts if i am attacking... similar with the defense if i am defending.
And there are 2 turns, shock and fire only and not a defens and offense turn too ( so 4 turns ).
That gives me headaches
//edit:
I found a formula:
If computing base casualty.
die result = die roll + max( AU leader skill - DU leader skill, 0) + ( AU offensive fire/shock pips - DU defensive fire/shock pips) - terrain modifiers
If computing base morale damage.
die result = die roll + max( AU leader skill - DU leader skill, 0) + ( AU offensive morale pips - DU defensive morale pips) - terrain modifiers
So for the 2 phases schock and fire, the offensive fire/shock pips and defensive fire/shock pips counts. ok...
The changing of the phases wit AU and DU irritating me then. Who is attacking, if that changes. For me the formula says, if i am the attacker, only the
yellow dots/pips counts, and not the green ones, because i am not the defending unit.