I know some places are working on go at your own pace math curricula. That's a bit easier, because the content is so standardized across universities and instructors. 

Basically, your tuition covers a set amount of instruction time (like it does normally), but if you progress into the next course your progress is saved and you might even earn a fraction of the possible course credits. Similarly, if you only make it partway through a course, your progress is saved and you receive some fraction of the credits for the course you were in.

You have to workout testing facilities, too, since the whole class isn't testing at the same time. To do it right, you really need the whole department to buy in.

Undisciplined

AskSN

How important is a traditional education, and higher learning?

Aardvark

The problem is that the entire system is not designed to support that. We try to move people through in X years, whether or not it's appropriate for their level.  We even measure success by things like 6 year graduation rates.  In my experience, the vast range in background and ability in a single classroom is the single biggest hindrance to effective teaching.  