An automated van that has roughly regular routes but goes slightly out of its way to pick up/drop off people would be a good middle ground between taxis and buses —- not unlike Jeepnys in the Philippines.

No, it is a terrible middle ground. They work only for people who are okay with being late to a meeting once in a while, or people who are okay with arriving far too early and then waiting once they get there. People who value their time want something predictable so they can arrange their time around things they understand.