Let's play this out further. How about high school, should there be grades there? Tests at all levels also typically involve a grade / metric -- are those included too?
At least where I live, universities used to run entrance exams. They didn't care about high school grades, or even if you'd ever been to high school: if you passed the entrance exam, you could enroll.
To play devil's advocate, evaluations and scoring should probably be used at the systemic or team level rather than stack ranking individual employees... I mean students. Improve the educational system rather than blame the individuals.
At least where I live, universities used to run entrance exams. They didn't care about high school grades, or even if you'd ever been to high school: if you passed the entrance exam, you could enroll.