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In Dynamics 365 for Customer Engagement, hierarchy security enables you to model the manager/direct report structure that is often used in businesses. The Position entity provides the capability to model this type of relationship. A system user in a higher level position can access the business data being accessed by another user in a lower level position.
See also
Administration and security entities
Position Entity
How hierarchical security can be used to control access to entities in Dynamics 365 Customer Engagement (on-premises)