A few courses I teach don't have any formal exams. The students basically are taught how to use the software applications, have tons of hands-on learning in the class, then construct a midterm and final project of what was learned.
I used to give thousands of sheets of papers of handouts with keyboard commands and make them take a test but found it really didn't help them learn the application. Constant reinforcement in the class, asking questions, quizzing students on the fly, and getting excellent high quality projects out of them in the end I found was a good approach. After a year, the students may have forgotten many of the keyboard commands, but knew how to use the applications with ease. It is a matter of constant practice.
Does anyone not have formal exams in any of their classes?