We implemented a standards-based grading scheme in an upper-division course on algorithm design taken by non-CS-majors. The alternate grading system allows students to submit multiple attempts at the same algorithm design problem, while managing grading load by replacing standard point-based scales with a 4-possibility-scale for all problems. The simplified grading system created flexibility in the course structure that allowed us to give students more problems each week than we expected them to complete, covering different aspects of the given topics (e.g., both theoretical and practical approaches to algorithm design). The additional problems allowed for students with different goals and backgrounds to choose different problems and tailor it to their needs. The availability of resubmissions created incentives for students to master difficult topics throughout the quarter without a final exam. We argue that the simplified grading system is particularly well-suited to courses in algorithm design and courses for students with varying backgrounds and goals.