> executives, should expect to have to demonstrate their skills when applying for a new job
They do. The interview process is a review of your "wins and losses" (public and verifiable is the gold standard), plus you need to complete some case studies.
That's better than nothing, but not much better -- many people have an outsize ability to "dress up" any arbitrary thing as a win, and in that case what the interviewer is really testing is a mixture of (1) that person's ability to produce wins, and (2) that person's ability to dress things up as wins.
(As far as I can see, there's no obviously better way to interview executives, since in general their actual day-to-day work -- building relationships and making strategic decisions -- takes months or years to prove out, and in any case the outcomes are heavily dependent on external factors and their ability to read them.)