When Should You Use SharePoint Over OneDrive for Document Storage?

The Sunrise Post
4 min readSep 27, 2024

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With both SharePoint versus OneDrive available in Microsoft 365, deciding the better option for managing documents often proves confusing.

While the two platforms share similarities around file sharing and collaboration, major differences exist in intended use cases, features and functionality.

Reviewing the key comparisons allows better matching file storage needs with the right platform.

Key Differences at a Glance

With this high-level overview, SharePoint stands out for its extensible content management capabilities, while OneDrive offers more personal cloud storage convenience.

Evaluating further features and use cases clarifies appropriate document storage selections in various scenarios.

SharePoint versus OneDrive

When Should You Use OneDrive?

Thanks to native integration with Microsoft 365, OneDrive makes securely accessing files from anywhere and sharing with others effortless.

If you simply need a place to store documents for personal access and occasional sharing, OneDrive allows quick dragging and dropping of files into flexible folder structures.

With 1TB of free space, automated computer folder backups, seamless cross-device synchronization and built-in document collaboration capabilities, OneDrive gives you the most convenience for typical document activities like:

● Quick dumping ground for temporary files

● Loose file sharing with a few colleagues

● Syncing common project files across devices for personal access

● Creating basic folders to organize family photos and videos

● Distributing folders of information during events or while traveling

● Personal archival storage not needing retention policies or version histories

Unless working extensively with large teams involving formal business processes, OneDrive provides a lightweight yet powerful cloud file sharing solution.

When is SharePoint the Better Fit?

Once moving beyond basic file storage and sharing needs, SharePoint offers superior capabilities for managing enterprise content and team collaboration.

With its robust library system and metadata options, SharePoint allows centralized control over entire document lifecycles not possible in OneDrive. This includes capabilities like:

● Configurable content types, columns and views by library

● Customized metadata for enhanced discoverability

● Automated document routing via customizable workflows

● Extensive integration options with Microsoft Power Platform

● Content retention policies and version histories

● Detailed usage reports to optimize libraries

● Highly customizable access permissions down to item-level

These advanced features make SharePoint the central hub for organizing business information, like:

● Reference material accessible company-wide

● Project documentation requiring retention/versioning

● Central data repository tied into business systems via Power Automate flows

● Form and survey data gathered through Power Apps/Forms

● Shared memo/document template libraries

● anything requiring strict standardized structures

With flexible content management suitable for intranets and project teams, SharePoint goes beyond OneDrive’s simplicity to enable true Enterprise Content Management.

Enhanced File Sharing Capabilities

When collaborating with a sizable group around a common set of documents, SharePoint offers enhanced controls to facilitate team participation. This includes capabilities like:

● Creating document libraries tailored to a project, department or initiative

● Customizing library columns to track relevant metadata

● Using configurable views to filter on document attributes

● Setting up alerts and notifications around library activities

● Granting individuals ability to add/edit files while restricting deletions

● Utilizing workflows to route content through review/approval processes

The approach substantially improves cross-functional alignment compared to passing files back and forth or working from local, siloed copies.

SharePoint versus OneDrive

But What About Data Governance and Compliance?

Modern enterprises require rigorous management of information lifecycles, including retention rules and records management, to comply with legal, security, and privacy policies.

With SharePoint allowing:

● Custom retention rules applied enterprise-wide

● Scheduled document destruction once expired

● Auditable records declared as strict records types

● Legal and privacy holds to preserve content

Records managers can feel assured SharePoint will grow in capabilities to fulfill expanding governance demands over time.

Don’t Forget Migration Complexity

Transitioning multiple terabytes of existing network files into any cloud content platform proves challenging both technically and culturally.

With users accustomed to on-premises shares mapped to drive letters, the learning curve to browser-based SharePoint libraries often encounters resistance.

Careful communications, change management, and staged migrations facilitate the upgrade while ensuring existing document access and familiarity during the transition.

This minimizes disruptions, allowing organizations to capitalize on SharePoint’s cloud-based strengths over time.

Key Takeaways and Recommendations

Deciding between SharePoint and OneDrive primarily depends on whether simplistic file sharing for individuals or advanced content lifecycle management for groups better meets your needs.

● If you just require a personal storage location for temporary documents, use OneDrive and its instant anywhere access plus automated PC syncing.

● Whenever moving beyond basic file organization, SharePoint offers superior document lifecycle controls through integrated, secured collaboration environments not possible in OneDrive.

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