At my last company, we did a traditional interview plus a pair programming interview. Eventually, we moved the pairing interview up in sequence, because it gave us far more information than the traditional stuff. It let us see what they could really do, and told us a lot about how they worked as part of a team. Mere questions don't get at that.
We also paired most of the time in the course of our work, which gave us a lot more room to take hiring risks. If somebody was bad, the amount of damage they could do was limited. If somebody was just uneven in skill profile, pairing let us take advantage of their strong points while mentoring them in their weak points.
I'd love to hear what else people using a Moneyball approach are doing to reduce risk and increase yield after hiring.