I actually did a similar thing as an ops guy (debugging systems as described in some questions) and really liked the concept. On the other hand I work on mathematical riddles for fun so maybe I'm the core target for those.
It doesn't replace face to face interviews but I can see it as a good example of "how would face this real life situation you would encounter if you got the job?"
It doesn't replace face to face interviews but I can see it as a good example of "how would face this real life situation you would encounter if you got the job?"