Monitoring Student Activity and Engagement in Canvas

Community Participant

My university has begun to be required to demonstrate that we are able to monitor students' activity within Canvas. We have to monitor their academic engagement and success within the LMS and the amount of time that the student participates in an activity in Canvas. 

I have been through the Community, and I do not see that anyone has looked into the capability of Canvas to monitor a student. Does anyone know if this is possible? Is there a custom project someone has developed or is working on? Can we use Canvas Data for this? 

I am familiar with the API and some programming to generate reports, but I need to be pointed in the right direction first.