The Multilevel Approval Process is an innovative approach to compensation data planning and approval that differs from traditional compensation administration tactics centered on the employee. Unlike these tactics, the Multilevel Approval Process focuses on the enterprise's organizational structure rather than the personnel assigned to its various parts. Although the multilevel Approval Process is based on the organizational structure, it was created to make the administration and execution of the whole compensation planning cycle easier for each successively higher-level management within that structure. Managers who use this procedure have the freedom to approve or reject compensation planning data submitted by subordinate managers at any level below them.
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