Competency based education and its continuous assessment creates a strong interest amongst all stakeholders involved in laboratories. Hands on experience and projectbased learning provide an opportunity for a personalized path to acquire higher order learning levels. A continuous assessment procedure has been implemented to impart knowledge-based on skill centric environment for lifelong learning. Five assessment components have been designed for the continuous improvement of skills all of which are required for higher order competencies. Laboratory assessments components have been designed by considering the teaching learning process, methodologies, complex engineering analysis, sustainable development, professional engineering practices and Continuous Improvement. These assessment components have brought about a radical transformation in Academic Performance Index (API), Success Index (SI), Placement, Higher Studies, Entrepreneurship (PHE) , attainment of Program Outcomes (PO's) and Program Specific Outcomes (PSO's). These outcomes indicate that students/graduates have acquired a higher order competency along with professional learning and hands on experience.The proposed methodology for laboratory performance assessment components addresses the problems existing in conventional laboratory assessment methodology. In conventional methodologies, performance assessment is done based on laboratory report submitted by each group. The biggest drawback is that there are no specific guidelines for grading reports, large variance in assessment of senior and junior staff and no continuous evaluation system. Aptitude brilliance can be improved through knowledge component assessment. In addition, written work component is vital in improving lifelong learning and soft skills or professional skills.The analysis of Questions Answered indicates the continuous.The analysis of Questions Answered indicates the continuous reading practice which prepares them to grasp technical topics leading to benefits in employment as well as an improvement in individual Academic Performance. Interactive component gives them experience and opportunity for group discussion. Also, it helps in striking impactful conversations to address the needs, build network, perspective and intrinsic drivers which influence continuous improvement. Punctuality component is most critical and also key component to transform individual component to become a competent professional. It also helps to balance their professional and personal life. Here outcomes are observed considering three engineering streams and over 8000 data points for three consecutive Academic Years. This paper result provides implications for academicians, Employers and Human Resource professionals of Industry. Also, this paper helps identify the Industry Academia gap existing between the skills needed in the industry and the university education the students receive. Keywords: OBE, POs, PSO’s, SI, API, Industry Institute Interaction, Assessment Components (AC’s)