When it comes to choosing a platform to assist with document storing and sharing, many organisations find themselves torn between SharePoint and OneDrive.
Both are developed by Microsoft and included as part of (most) Office 365 licences. They also deliver some similar functions, yet operate in different ways.
In this post, we'll explore the differences between SharePoint vs OneDrive and why we find SharePoint to be a more effective and efficient solution.
SharePoint vs OneDrive: What's The Difference?
SharePoint vs. OneDrive is a common dilemma for many businesses. But understanding what each platform is designed for can assist in ensuring correct use.
Microsoft SharePoint is a robust platform designed for collaborative teamwork. It serves as a central hub for storing, organising, and sharing documents and information across teams and departments. With SharePoint, you can create custom intranet sites, manage workflows, and collaborate on projects seamlessly.
On the other hand, OneDrive is more like a personal filing cabinet in the cloud. It is primarily intended for individual users to store their files securely and access them from anywhere.
While both SharePoint and OneDrive are part of the Microsoft 365 suite, they cater to different collaboration needs within an organisation. SharePoint excels in facilitating team collaboration and knowledge sharing, while OneDrive is ideal for personal file storage and easy access.
Understanding the unique strengths of each tool helps businesses make informed decisions about their document management and collaboration needs.
SharePoint vs OneDrive Comparison
| Area | OneDrive | SharePoint |
|---|---|---|
| Best for | Personal files, drafts and individual storage | Team files, shared libraries and business-wide collaboration |
| Ownership | Usually tied to an individual user account | Owned by a team, department or organisation |
| Collaboration | Useful for sharing individual files | Better for structured collaboration and document control |
| Permissions | Suitable for basic file and folder sharing | Supports more granular permissions and governance |
| Common business use | Personal working documents and temporary sharing | Project files, policies, intranets and shared resources |
| Long-term suitability | Less suitable for critical shared company documents | Better suited to long-term document management |
Individual vs group collaboration
Storage
Both OneDrive and SharePoint provide users with a large amount of storage. However, the more important distinction is not simply the volume of storage available, but how that storage is owned, governed and accessed.
OneDrive is generally associated with individual user storage, making it useful for personal files, working drafts and documents that do not yet need to be shared widely. SharePoint, by contrast, provides shared storage for teams, departments and business functions, making it better suited to documents that need to be accessed and managed by multiple people over time.
For many SME companies, SharePoint Online can function as their file server in terms of storage and structure. In contrast, we’ve seen plenty of organisations run into issues when important company files are stored in individual OneDrive accounts.
This can create problems when users leave the organisation, move roles, change permissions or become unavailable. If a document is business-critical, it should usually live in a shared SharePoint location rather than an individual’s OneDrive.
Scalability
In terms of scalability, SharePoint is also the better solution if you’re thinking about long-term use for your organisation. In time, SharePoint can be built out with further functionality as an organisation grows, and users added or removed as needed.
OneDrive will always primarily be a personal storage solution. It can support individual productivity very effectively, but it is not designed to act as the central document management platform for a growing organisation.
If the person who is the account holder for the main OneDrive account leaves the organisation, particularly if under bad terms, they can take all of an organisation’s files with them. Akita has seen this happen on more than one occasion and it’s rare for Microsoft to help if OneDrive has not been used as intended.
SharePoint avoids much of this risk by allowing files, libraries and sites to be structured around teams, departments, projects or business processes rather than individual users.
More efficient and effective collaboration
It is possible for multiple users to work on a document via OneDrive. However, the original user remains in control and can only grant access to others by sharing the file link. This becomes problematic if the original user is unavailable when you need access.
With SharePoint vs OneDrive, this step is eliminated, as multiple employees with the appropriate permissions are able to access and edit a document.
What's more, any changes are automatically tracked and management is able to see who is currently working on a document in real-time.
SharePoint can also help manage productivity across teams thanks to the ability to create custom workflows as well as utilise prebuilt templates.
Scalability
In terms of scalability, SharePoint is also the better solution if you’re thinking about long-term use for your organisation. In time, SharePoint can be built out with further functionality as an organisation grows, and users added or removed as needed.
OneDrive will always primarily be a personal storage solution. It can support individual productivity very effectively, but it is not designed to act as the central document management platform for a growing organisation.
If the person who is the account holder for the main OneDrive account leaves the organisation, particularly if under bad terms, they can take all of an organisation’s files with them. Akita has seen this happen on more than one occasion and it’s rare for Microsoft to help if OneDrive has not been used as intended.
SharePoint avoids much of this risk by allowing files, libraries and sites to be structured around teams, departments, projects or business processes rather than individual users.
Better Security And Permissions
While both tools are encrypted to protect your files, you are assured more robust security when sharing and accessing resources with SharePoint thanks to its functions such as setting auditing policies.
Unlike OneDrive, SharePoint offers more advanced control over how information is accessed, shared and governed. This makes it particularly valuable for organisations handling sensitive information, regulated documents, HR records, finance files, client documents or operational policies.
SharePoint can also be configured to obtain and analyse data from customers and users, making it more useful for monitoring changes to files and documents.
For businesses with compliance requirements, SharePoint’s structure makes it easier to apply consistent permissions, document retention policies, version control and auditability across key information assets.
Granular Permission Setting
Available across a network or via the cloud, SharePoint also comes with a greater level of version control and user access that simply isn’t available with OneDrive.
Particular permissions can be modified at intricate levels, enabling you to fully manage your access requirements to protect sensitive data, only allowing HR staff to view personnel documentation for example.
For larger or more complex organisations, this ability to control access by site, library, folder, file, department or user group can be essential. It helps prevent oversharing, reduces information risk and gives administrators more control over how company data is managed.
Easy customisation and integration
SharePoint has an easy-to-use interface straight 'out of the box', but it can also be customised to your organisation's needs. Users can modify which apps appear and change the layout and content structure.
Because SharePoint uses an open architecture that is highly scalable, it also facilitates easy integration with not just Office 365 but a number of other web-based services such as email and calendars, whether Microsoft or not, perfect for growing businesses.
SharePoint can also be connected with Microsoft Teams, Power Automate, Power Apps and wider Microsoft 365 services to create a more joined-up digital workplace. This means it can support not just file storage, but wider business process improvement.
When Should You Use OneDrive?
OneDrive still has an important role within Microsoft 365. It is not a case of avoiding OneDrive altogether, but using it for the right purpose.
OneDrive is best suited for:
- Personal working files
- Documents that are still in draft
- Files that do not yet need team-wide access
- Temporary file sharing with specific colleagues
- Notes, research or early-stage ideas owned by one person
- Accessing individual work files across multiple devices
As a rule of thumb, if the file is mainly for you, OneDrive is usually suitable. If the file is important to a team, department, project or business process, SharePoint is usually the better location.
When Should You Use SharePoint?
SharePoint is the stronger option when documents need to be shared, governed, found, edited and retained by multiple people across the organisation.
SharePoint is best suited for:
- Departmental document libraries
- Project documentation
- Policies and procedures
- HR, finance or operational records
- Client or supplier documentation
- Intranet content and internal communications
- Knowledge bases and shared resources
- Documents requiring version control or approval workflows
If documents need to survive beyond one person’s role, SharePoint is usually the safer and more scalable option.
Conclusion
When it comes to SharePoint vs OneDrive, there really is a right time and place for each. But it's essential to understand that each of these tools serves distinct purposes, and their suitability depends on your business needs.
OneDrive is an excellent option for individual users who require a secure and convenient way to store and share their files and documents. It acts as a personal cloud-based storage system, allowing users to access their files from anywhere, which can enhance their productivity and flexibility. OneDrive is a straightforward choice when your primary focus is on personal file management and sharing.
On the other hand, SharePoint goes beyond individual file storage. It offers a wide array of tools and features designed to facilitate collaboration and boost productivity, making it particularly valuable for organisations with in-house teams or remote employees. SharePoint can serve as a central platform for project management, custom intranet site creation, complex workflow management, and fostering knowledge sharing. It's the ideal choice when your business aims to enhance team collaboration and productivity significantly.
In summary, when it comes to SharePoint vs OneDrive, your decision should be based on your organisation's specific requirements. OneDrive suits individual file management needs, while SharePoint empowers teams and businesses to take their collaboration, productivity, and knowledge sharing to a higher level. By recognising the strengths of each tool, you can make informed choices to support the success of your business.
View possible Microsoft SharePoint solutions for your organisation on our service page.
