What are the advantages and disadvantages of using hierarchical versus flat ASIC design approaches?

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Application-Specific Integrated Circuits (ASICs) are custom-designed chips that perform specific functions with high efficiency, speed, and reliability. ASICs are widely used in various fields, such as telecommunications, automotive, aerospace, and biomedical engineering. However, designing and fabricating ASICs is a complex and costly process that involves several steps, such as logic synthesis, layout, routing, verification, and testing. One of the key decisions that ASIC designers have to make is whether to use a hierarchical or a flat approach for organizing their design.