After reading Cameron Moll's posting Surviving the all-day tech interview, I have to give a sigh of relief that I've never had to go through one myself-- although I can see why they'd give you a pretty good feel for how a potential candidate would really perform during a stressful day on the job.
I think that for development positions, though, it's a little easier to really see how well they know their stuff: I just give them a test where they have to write code samples. And while I require them to write their own code from scratch, I don't expect people to come up with every solution themselves. During the test, I let people look up whatever they'd like from reference books or the web. After all, it's what I do all day. All I care about, in the end, is that they can create good code in good time-- it doesn't matter to me whether they think it up themselves or look it up somewhere else.
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