The system is fine. The culture is broken. Scientific publishing isn't forced on the community by regulation or necessity. You can publish papers in infinite number of ways online. Unlike something like healthcare or housing, where there are no alternatives, there are plenty of alternatives when it comes to media publishing.
There are not if you are working in it. Some grants for example include provisions that you publish in tier so and so journals. If that is the case, there might be one of those that is open-access / independent, but more likely there is not.
What they are saying is that this is nearly a 100% self-own. The department and the academic structure sets the KPIs, like where to publish and how much. This is very much a monkey caught with their hand in a jar moment.
'Scientists' and 'administrators of scientific departments' are two groups with minimal overlap.
Department heads come from the scientific faculty, normally on a tour-of-duty rotation.