Is this poor design or simply, not designed _for_you_?
I agree, its a royal pain to manage, and it might be overkill for a small shop trying to lock down their web server. Thankfully there are other solutions, and operating systems that may better fit your use cases.
https://en.wikipedia.org/wiki/Common_Criteria
I find it enlightening to read what kinds of justifications the proponents of SElinux use. It's never about the quality of the software; it's about how there's more band-aid tooling to make it easier to work with, or about how it's not as bad as it was, or that it gives you all these knobs and levers to have more control. It's not what you focus on when you're serious about quality software engineering.
Imagine if we were talking about something like Gnome or the Windows 11 interface: yeah, the interface is a real pain to navigate, but we added even more menus and buttons and the rightclick menu is twice as long now, so you can do even more stuff with it, and we even added Clippy back in to help you when you get stuck!
Then in practice someone ends up writing a couple policy statements and filing a couple forms then disabling it anyway, nearly every time.
If that’s the case it doesn’t need to actually work in practice, just hypothetically.
It's not the only project like it, it's the one that is most well known because it has the NSA attached and because it got incorporated into the main kernel.
It works in practice, absolutely, but most people are too intimidated or lazy to put in the effort to learn it.
Regarding how to do that, it's left as an exercise to the PhD holding student.