The manual is a little sparse on explaining this but looking at the device itself I'd think that it's designed to augment the SCORM 2004 IMS 'Simple Sequencing.' Crudely this is where you can enforce the path users have to move through your module.
This would allow content developers to customise the path a learner follows through their SCO with some subtlety based on different variables.
You should be able to use this to customise an SCO so that the path through it is adaptive to the learners capibilities.
This is why there are variables tied to individual pages and individual events on those pages. As Slav says this is getting a bit complex.
A sample of this might be, if a user scores at or above a norm in a section you could skip a section and move them to a later continuation point, the next user doesn't do as well and doesn't skip a section and someone in deep trouble gets moved to a totally different point.

There's an in depth explanation of how the rules for this work here http://www.xerceo.com/snguide/

Working from these principles and mapping an SCO thoroughly should give a reasonable idea where they might figure in the task sequencer.
It does hold some very intriguing possibilities but I don't think I have the time or patience to sit down and figure it out myself!!