Student assessment is an essential part of the education process. At the classroom level, teachers would assess students to find out whether they have learnt what has been taught, and then make adjustments or modifications in their instruction. Similarly, at the school, school district, or national level, student assessments are performed to monitor educational progress and evaluate the overall quality and efficiency of education. Moreover, in the modern knowledge-based world, the information resulting from student assessment is extremely important because it reflects a country’s competitiveness. For these reasons, this paper synthesizes information about the multiple functions of student assessment and their respective design considerations, in the hope that such information would be helpful for the development of an efficient and effective student assessment program in Taiwan.