Pick up any core design such like PCI or RISC or DSP or simplest Microprocessor say 8085 or 86. Divide the work efficiently in the group of 3-4 students each have to take responsibility about few modules. Design and optimize .
You can implement UART, I2C or SPI protocols. If you can use the above mentioned protocol compatible ADC or any temperature sensor and display the measured value on LCD. Here you will get knowledge on how to convert Binay values in to ASCII or you can upload it to a PC through UART.