I created an approval process that I thought would 1. evaluate all records entering process, and when that person approves them 2. pass on to person number 2 if criteria was met, for them to approve, 3. if criteria 2 are not met then it goes to person 3 for approval. Either way, any record should have 2 approvals by 2 separate people. I thought that's what steps were for, but maybe I have to create 2 different approval processes?

I tested it today , and when person 1 approves the record it doesn't go to anyone else. It just goes to the final approval. 

I've attached a screenshot of part of the approval diagram. Please help!!