How do I build and grade an online assessment?

An LMS turns assessment from a manual chore into an automatic process. Building one:

1. Choose question types — multiple choice, true/false, matching, short answer, and more. Mix them to test understanding, not just recall.
2. Build a question bank — store more questions than each learner sees, then randomise so no two attempts are identical (useful against cheating).
3. Set the rules — pass mark, time limit, number of attempts, and whether questions shuffle.
4. Let the system grade — objective questions grade instantly; written answers route to an instructor for manual marking.
5. Review the analytics — see which questions most people get wrong, which often reveals a weak spot in the course itself.

Automatic grading saves enormous time at scale, and the analytics close the loop: if everyone fails one question, the problem may be your teaching, not your learners. For high-stakes exams, combine assessment with proctoring.