When someone is hired (whether for tenure or time-limited), their research as a whole has to be evaluated by external, independent committees who take into account the content of the research and do not base their judgment on indicators only. There is no shortcut around that.
The biggest annoyance nowadays is the decision-makers' insistence on "excellence", though. You cannot have only excellent people everywhere, as per the definition of "excellent", yet this demand is in every fucking guideline for postdocs and tenure-track position. It's absolutely ridiculous.
The problem with this assertion is: non-experts are paying for all of this.
Imagine you are an ordinary taxpayer. You are feeling the pinch yourself, you look around you and see infrastructure crumbling, every day the press says healthcare and this and that is underfunded. Now along comes some scientist, he or she wants a few billion for a new particle collider that will make no difference whatsoever to your life, and their only justification for it is "well other scientists say we should get all this money, and they're cleverer than you, shut up".
Can you see why funding something with no accountability might be considered problematic?
There's also the fact that an expert who can't explain something to a non-expert probably doesn't understand it very well themselves...
It took over 20 years after the Standard Model reached broad acceptance (ie., the experts thought the theory was probably right) for the first supercollider powerful enough to observe the Higgs boson to be financed. This was enough time for policy makers to reach high confidence that the experts had not gone badly wrong and for there to be reasonably well-informed public opinion on the merits of the search.
> Can you see why funding something with no accountability might be considered problematic?
Maybe you're confusing budget decisions with funding and hiring decisions. These are fundamentally different. Universities and research institutions, as well as national funding authorities, get budgets that are decided politically, i.e., by elected representatives. These can have broad categories and guidelines or preferred research areas (e.g. "excellence initiatives"). Budgets are usually allocated well in advance, for instance our national funding authority gets budget security for 4 year periods (if I'm not mistaken). How they spend it is dictated by political guidelines for the respective period and plenty of complicated national and international laws.
In contrast, I was talking about hiring decisions and decisions about individual funding. How can it not be obvious to you that these decisions need to be made by experts on the basis of CVs and scientific project proposals, not by politicians or other laymen?
E.g, for my company's twice-yearly evaluation, everybody writes up a short report on the most impactful stuff they've done including evidence, this is evaluated by their manager to give a score, and then there's a series of group meetings between managers to make sure that the scores are calibrated, including looking at all types of metrics that can be dug up and comparing to our written role descriptions for different levels. It takes a lot of time but creates fair scores.
This is extremely labor intensive, but that's the thing: To create anything resembling fair evaluation of a large group of people that do a large set of different things, you need to do things that are labor intensive. Using a simple set of metrics don't cut it.