I'm a far bigger fan of at-home coding exercises. Yes, I know, some people get annoyed at these because they think you're asking them to do free work in their spare time. But what other way is there to test people's coding under circumstances that most adequately mirror those of an actual job. E.g. they have a (relatively) unlimited amount of time, they have access to Google, their IDE, etc.
I'd much rather see what someone can come up with, in response to some novel problem, based on a couple of days programming, than what they can hack out on a whiteboard based on thirty seconds of thinking. The former seems closer to what coders are actually required to do, day on day.