Prior to the upgrade in April 2017, managers were able to delegate to an employee, giving them access to take action on all that Manager's reports, both direct and indirect. However, a bug has been discovered regarding this functionality in the updated system. Currently, providing delegation (or proxy) access will only provide access to that Manager's direct reports. In order for a user to have access to one of the Manager's indirect reports, the manager whom that employee reports to would need to provide delegation access as well.
Example: Suppose Samantha reports to her manager, John, who reports to his director, Cindy. Cindy has a secretary, Paul, whom she delegates access to. In this scenario, Paul will have access to see all of Cindy's reports, both direct and indirect, but he will only be able to take action on John. In order for Paul to take action on Samantha, John will need to delegate access to Paul as well.