Skill tests evaluate a person's knowledge of that skill. Standardized testing in theory evaluates a student's knowledge of the material tested, but in practice teachers often focus more on test-taking strategies in order to boost scores and secure funding. In theory these tests should incentivize learning the material, in practice they incentivize learning to take the test.

"tests": Bulemic learning by heart of lecture material just to pass the damn exam and forget most of the stuff a bit later anyway. Practical relevance of tests: approximating zero.

That's why a lot of "younger" companies don't even look that critically at grades anymore.