This is the setting volleyball drill.
One player from each side of net performs the serve.
Two players receive the serve.
The defensive players pass the ball to zone 3.
Player that have served runs to zone 3 and set the received ball into the basket in zone 4.
Goals: Improving setting ability.
I like the drill that you have outlined.
One small adjustment that you could make to improve the effectiveness of the drill would be to have the player that receives serve also do their approach and hit the ball that is set instead of setting into a basket. With this small adjustment, you would be able to practice:
Serving, Passing, Setting, Hitting.
It would be a great drill and players would receive maximum benefit.