Assessments

Assessment in an online environment can be just a rigorous and effective as in the traditional classroom.
Recommended Reading: Assessing the Online Learner: Resources and Strategies for Faculty, by Palloff and Pratt

Here are some ideas to consider when designing assessement for the online classroom:

1) Match the assessments to the learning objectives
2) Take precautions to limit the possibility of cheating
3) Communicate assessment task clearly
4) Use formative assessment to promote deeper learning
5) Use self-assessment to improve learning and self-awareness.
6) Conduct peer-assessments among students
7) Constantly evaluate your assessment practices
Download a PDF with ideas on how to implement these ideas.
Reference: http://www.sanjuancollege.edu/pages/2852.asp

Here are some more ideas to consider when designing assessement for the online classroom:

1) Have a wide variety of clearly explained assignments
2) Evaluate student work to determine if student outcomes are being met
3) Supply student with continual, immediate (within reason) and detailed feedback
4) Use a rubric to determine if student outcomes are being met
5) Utilize self-assessment and reflections
6) Threaded discussions are an appropriate method to ensure understanding and enhance student-to-student interaction
7) Use a variety of assessment techniques from objective questions to written communication to summative portfolios.
8) Peer-assessment for feedback
9) Create a rubric for interaction in discussions
Reference: Effective Online Instructional and Assessment Strategies

Check out this link for resources on Assessment and Rubrics.
Check out this link for Student Assessment.