[King_Zog]

I can't remember what all the different medals do exactly, but some effect experience and morale. For example, the Iron Cross 2nd Class gives the crew member an experience boost.

I tend to run with no fatigue enabled. I don't like the way it has been implemented into the game, too much boring micro managing for me.

(I recently started playing SH4 so I could play US Navy fleet boats for a change, It does a few things better than SH3 such as a much improved crew management system and fatigue model. Your crew are put into shifts which rotate automatically, and you can call 'action stations' for those situations when you need the extra man power. Although I haven't played much yet as I really miss the simplicity of the German 'point&shoot' TDC, the American TDC is very different and seems to be a much more complicated beast).

As for morale, having very low morale may work much like low fatigue and reduce the working efficiency of your crew. The morale bar goes down the longer you are at sea, and takes a hit if you start taking damage or crew members get killed. It goes up when you sink ships. Although I have yet to notice any real effect on the crew, but again I run with fatigue off which may effect morale too.