[LeanderK]

I really enjoyed how they did it in Tübingen, where I did my masters. You usually had to achieve a certain score on the homework (usually 50-75% of the overall points) in order to be qualified to take the exam. Additionally, if you did really well you got a few bonus points on the exam (something around 80/90%+). This incentivised you to take the homework seriously, especially if you want to get the bonus points. But you still have the written exam at the end as the "controlled environment" and something you have to prepare for, so you can not just listen to the slides once and then forget it after doing the single exercise

[thechao]

The grade system we implemented was a little program: you can pass the class if you get a passing grade on your HW and tests (weighted average); if you fail either HW or exams, you get the lower of the two.