@Scott_McDonald
Here is how I understand how things work with an example how I use routines and a suggestion.
SHMs only purpose is to monitor your open/closed and motion sensors. Armed(Away), Armed(Stay) and Disarmed are only “States” - they do nothing by themselves, they are the only “States” allowed by ST and are cannot be set up to perform any Action. Pushing one of the three buttons simply changes States from one State to another - That’s it. You can not create new States in SHM.
The Security App is fired when any of these buttons changes States. It’s purpose is simply to tell which sensors to monitor in the two Armed States. It performs no actions.
Notify Me When Smartapp tells ST to notify your phone in the case of a sensor firing in the armed states with an intrusion alert. It performs no actions.
So, putting it simply, SHM is a home MONITORING service that gives you an intrusion alert and notifies you when a monitored event occurs.
Routines are the Action guys. They turn on lights, sirens and other things. Here is the crazy part. SHM will not run a routine when the state is changed, but a routine can change the state of SHM. To make it more confusing the provided routines are named “Good Morning,” “Good Night,” “I’m Back,” and “Away.” These names mean different things to different people. even more confusing is that instead of changing the state to Armed(Away), Armed(Stay) and Disarmed, you change the state to “Night,” “Home” and “Away” and then somehow translated to SHM’s three states. You can rename the routines but the pretty icon changes to an ugly gray color so that you cannot distinguish one from the other at a glance. So, if you want some action to take place, such as turning on an outside camera to detect motion when ST is armed, you must set this action up as a routine and write a Custom rule to notify you when motion is detected and start recording video. The down side to this is that arming/disarming the system with SHM will ignore the routine. The cameras will not turn on, you will not get a notification and there will be no video. SHM becomes useless at this point. To perform these actions you must now arm/disarm ST with routines and pretend that the three SHM states do not exist.
The plus side to using routines to arm/disarm ST are that you can create new routines to serve whatever purpose you need. They perform much faster than SHM. You can creates widgets on your smart phone/smart watch so that you can arm/disarm ST from your device’s lock screen.
The down side to arming/disarming ST with routines is that sometimes they don’t fire although they say that they did and the SHM indicates a change of states. This happens to me frequently.
So, my advice is to modify the existing routines to suit your needs and create new ones for you special situations. Forget SHM’s home page completely.