Authentic Assessment & Competency-Based Education in Higher Education

In higher education, there is growing interest in ensuring that students not only learn but demonstrate their learning in meaningful, applicable ways. Authentic assessment is a powerful tool for this, especially when paired with competency-based education (CBE), where mastery of learning outcomes (competencies) is central. This piece explores what authentic assessment is, why it matters in competency-based systems, how to design it, and the broader institutional implications of this shift, as identified in national research.

What is Authentic Assessment?

Authentic assessment refers to evaluation tasks that mirror real-world contexts, requiring students to apply their knowledge and skills in ways similar to those they will encounter beyond the academy (Center for Innovative Teaching and Learning, Indiana University Bloomington, n.d.). Rather than simply recalling information or performing decontextualized drills, students engage in tasks such as projects, case studies, performances, simulations, portfolios, problem-solving, or other applied tasks.

Indiana University emphasizes that authentic assessments should be meaningful and connected to students’ lives or future professional work. For example, instead of assigning a traditional multiple-choice exam in an education course, an instructor might ask students to design an inclusive lesson plan for a real classroom scenario, incorporating accommodations for diverse learners. This task mirrors what future teachers will actually do in the field while allowing them to demonstrate pedagogical understanding, creativity, and reflection on equitable practices.

Similarly, the University of Illinois Chicago highlights that authentic assessments often integrate multiple skills, mirror professional work, and include opportunities for reflection and feedback. A business or marketing course might ask students to develop a brand strategy for a local nonprofit—an applied, collaborative task that blends theory, data analysis, and communication.

Ohio University underscores the importance of alignment—assessment tasks should directly connect to stated learning outcomes and demonstrate students’ ability to transfer their learning to new situations.

As the National Institute for Learning Outcomes Assessment (NILOA) found in its 2017–2018 nationwide study, institutions are trending toward greater use of authentic measures of student learning—rubrics, classroom-based performance assessments, portfolios, and capstones—reflecting what provosts deem most valuable for improving student outcomes. The shift represents an intentional move from compliance-driven assessment to actionable, embedded approaches that provide meaningful insight into learning quality.

Competency-Based Education & Mastery of Learning Outcomes

Competency-based education (CBE) shifts the focus from time-based progress to demonstrated mastery of explicitly stated learning outcomes. Authentic assessment aligns seamlessly with CBE because it requires students to do things—not just know things—and demonstrate mastery through performance in real contexts (Butte College, n.d.).

NILOA’s research reinforces this alignment: 82% of institutions have institution-wide learning outcomes for all undergraduates, and 50% report full alignment between program- and institution-level outcomes, showing a growing trend toward coherent, scaffolded systems of learning and mastery

Why Authentic Assessment Matters in CBE

Authentic assessment plays a vital role in competency-based education by aligning what students learn with how they demonstrate mastery. When assessments mirror real-world applications, students better understand relevance and transferability. These tasks promote deeper learning—requiring synthesis, analysis, and reflective practice—while generating richer evidence of mastery.

The NILOA survey indicates that assessment is now driven not only by accreditation but also by institutional improvement and equity. Colleges are increasingly disaggregating learning data to identify and address achievement gaps, signaling a shift toward culturally responsive assessment practices that ensure all students are equitably supported in demonstrating competencies. Furthermore, most meaningful change occurs at the assignment, course, and program levels, where faculty refine curriculum and pedagogy based on assessment results. This underscores the critical link between authentic assessment and faculty development: when instructors use embedded evidence of learning, improvement is both local and systemic.

Designing Authentic Assessments for Mastery

Effective design involves:

• Clear competencies and rubrics aligned to institutional outcomes
• Multiple assessment types such as portfolios, simulations, and applied projects
• Iterative feedback loops allowing students to revise and demonstrate growth
• Transparency through exemplars and outcome-based rubrics
• Real-world or professional contexts that validate mastery

Institutions succeeding in authentic assessment often provide faculty with professional development on assignment design and curriculum mapping, connecting classroom tasks to program outcomes. As NILOA notes, initiatives like the Excellence in Assessment Designation encourage campuses to link assessment results with decision-making and improvement across all levels of learning 

Technology, Alignment, and the Role of Analytics

While assessment-related technologies hold tremendous promise for aligning and integrating learning data, many institutions continue to grapple with meaningful implementation. As the NILOA report found, nearly one in four provosts indicated that their current assessment management system or software was not supportive of their institution’s assessment efforts, with another 27% calling it only “somewhat supportive”. This gap highlights a critical need for systems that do more than collect data—they must connect it.

When effectively designed and integrated, technology can support the holistic story of student learning by linking classroom assignments, program outcomes, and institutional goals. Analytics and dashboards can illuminate patterns of achievement, reveal gaps, and connect evidence across departments. Yet technology alone is insufficient without a culture of shared ownership and faculty engagement. The most successful institutions pair robust systems with intentional collaboration, professional development, and transparent communication practices. In this way, assessment technology becomes a bridge between evidence and improvement rather than a barrier of compliance.

Authentic Assessment as a Systemic Practice

Authentic assessment in higher education is not a single method—it is a philosophy of practice that integrates curriculum design, pedagogy, and institutional accountability. When institutions use authentic, embedded measures to evaluate learning, they create opportunities for students to demonstrate mastery through meaningful work.

As NILOA’s Assessment That Matters report concluded, the most impactful assessment ecosystems share several traits:

• Evidence is generated in the context of teaching and learning rather than separate from it.
• Faculty use assessment results to improve programs, courses, and assignments.
• Results are connected to institutional learning initiatives and equity goals.
• Communication about learning is contextualized, transparent, and purposeful

When these practices converge, assessment transcends compliance—it becomes a vehicle for institutional learning and improvement. Authentic, competency-aligned assessment thus represents both a pedagogical approach and a strategic imperative for higher education’s future.

About the Author:
Erin Kennedy, Senior Customer Success Manager, is a seasoned professional with extensive experience in the early childhood, elementary, and higher education sector. For the last ten years before joining the Insights team, she was the lead faculty of the Child Development Program at a MN Technical College, as well as the co-chair for the Center for Teaching and Learning on campus. In her strategic role with Insights, she is the implementation specialist and lead trainer - guiding over 100 clients through cohort learning experiences and best practices in integrating Insights into your institution’s assessment strategy. Erin’s comprehensive educational background, highlighted by her recent completion of an MS in Instructional Design and Technology, emphasizes her commitment to continuous learning and innovation. Her leadership skills, higher education experience, humanistic and collaborative approach, and dedication to exceeding customer expectations make her a valuable and effective leader in customer development and success.