Mini phal - shriveled, needs bigger roots, help!

[fudJy23]

It's a miniature phal and I've learned that it's very finicky, maybe because it's so small? The tag tells me it's a Phal Sogo Ibis.

I got him a couple of years ago and he had been growing well. I think I had a couple of periods of not keeping up with the watering so then he started growing what looks like a bunch of keikis. I think the last straw was about a month ago when I wasn't paying attention and was away for 10 days and the leaves started shriveling.

I was replanting all of my orchids over the weekend and this was what I found. The leaves are shriveled. There are little roots trying to grow and what looks like one decent sized root for its size. I have pictures of it from both sides since it has been growing pretty flat.

I'm thinking sphag and bag to encourage root growth? Am I going in the right direction or am I totally off base here?