Section8
Cipher
You just described an incredibly boring RPG. Or an average simulation game.
"With my blades skill, I can swing a sword and it kills people."
That's a boring RPG too. Or a poor FPS.
If you look at a single skill in an RPG, chances are, the use of it exclusively is boring. Almost assuredly if it's Morrowind.
Regardless of whether Chefe's example is a good standalone game, adding layers of complexity to a multifaceted system is a step in the right direction. Cutting skills because they're boring is an exceedingly limited view. To illustrate why that attitude would result in no Oblivion:
Axe - Repeated clicking = boring = Cut it.
Blunt Weapon - Repeated clicking = boring = Cut it.
Hand to Hand - Repeated clicking = boring = Cut it.
Long Blade - Repeated clicking = boring = Cut it.
Short Blade - Repeated clicking = boring = Cut it.
Spear - Repeated clicking = boring = Cut it.
Marksman - Overrides my l33t FPS skillz. Boring. Cut it.
Block - Passive. Boring. Cut it.
Light Armor - Passive. Boring. Cut it.
Medium Armor - Passive. Boring. Cut it.
Heavy Armor - Passive. Boring. Cut it.
Unarmored - Passive. Boring. Cut it.
Acrobatics - Passive. Boring. Cut it.
Alchemy - Mediocre recipe based trade skill. Typical MMOG shit. Cut it.
Armorer - Use repair tool. Click on item. Boring. Cut it.
Athletics - Passive. Boring. Cut it.
Enchant - Passive use, or even simpler trade skill than Alchemy. Boring. Cut it.
Mercantile - Passive. Economy broken anyway. Cut it.
Security - Use pick/tool until door/chest is unlocked/disarmed. Boring. Cut it.
Sneak - I can hide. Wheeeee. Cut it.
Speechcraft - Obsolete. Bribery just as good. Cut it.
Alteration - Makes me fly, makes for Security/Armour Skills/Carrying capacity obsolete. Keep it.
Conjuration - Summon creatures to fight while I do nothing. Boring. Cut it.
Destruction - Click something. It dies. Boring. Cut it.
Illusion - Makes combat pointless. Boring. Cut it.
Mysticism - Makes travelling less boring, and combat more boring. Maybe we keep it.
Restoration - Obsolete. Potions are better. Cut it.
So basically, instead of Oblivion, we'd have The Elder Scrolls 4: Alteration Mystic Apocalypse!