Online learning has become a popular tool in addition to traditional learning methods. This study emphasizes on how assessment and delivery methods employed can influence the effectiveness of online program, as well as the benefits and constrains experienced in e-learning. The research project was conducted at a Higher Educational Institution for a period of three months. A case study methodology was employed to investigate the opinions and experiences of faculty and students involved in online programs. Various factors that affect the effectiveness of online programs were studied in order to provide insights on the major challenges, benefits and limitations faced. Among the findings, major problem areas were identified and suggestions were proposed on how identified problems can be minimized. The study also raised future direction for e-learning.