I don't disagree with you that a reasonable way to cope with the current problems is to ensure everything that "counts" is done in a controlled environment, but pedagogy and its goals are vast.
There are things you learn from spending several days structuring a 20-page argument that you will not learn (and cannot assess) from oral examination or a 5-paragraph essay written in a blue book.
But there's no reason to expect that work to be graded. It should be a learning exercise which trains skills later tested under exam conditions.
If you have spent several days structuring a 20 page argument in October on any topic you'll have learnt a great deal about the subject matter. When you get to the exam hall in, say, May it will stand to you.
That knowledge will show up in the blue book vis-a-vis the other exam candidates.