The rapid adoption of generative artificial intelligence (GenAI) technologies in higher education has raised concerns about academic integrity, assessment practices and student learning. Banning or blocking GenAI tools has proven ineffective, and punitive approaches ignore the potential benefits of these technologies. As a result, assessment reform has become a pressing topic in the GenAI era. This paper presents the findings of a pilot study conducted at British University Vietnam exploring the implementation of the Artificial Intelligence Assessment Scale (AIAS), a flexible framework for incorporating GenAI into educational assessments. The AIAS consists of five levels, ranging from “no AI” to “full AI,” enabling educators to design assessments that focus on areas requiring human input and critical thinking. The pilot study results indicate a significant reduction in academic misconduct cases related to GenAI and enhanced student engagement with GenAI technology. The AIAS facilitated a shift in pedagogical practices, with faculty members incorporating GenAI tools into their modules and students producing innovative multimodal submissions. The findings suggest that the AIAS can support the effective integration of GenAI in higher education, promoting academic integrity while leveraging technology’s potential to enhance learning experiences. Implications for practice or policy: Higher education institutions should adopt flexible frameworks like the AIAS to guide ethical integration of GenAI into assessment practices. Educators should design assessments that leverage GenAI capabilities, while supporting critical thinking and human input. Institutional policies related to GenAI should be developed in consultation with stakeholders and regularly updated to keep pace with technological advancements. Policymakers should prioritise research funding into the impacts of GenAI on higher education to inform evidence-based practices.