Two names stand out as one of the best cloud-based collaboration and file storage services: SharePoint and OneDrive. Though both offer similar features, they are designed for different purposes.
SharePoint provides a comprehensive solution for team collaboration and document management, while OneDrive offers personal cloud storage and easy file sharing.
In this article, I’ll explain the similarities and differences between SharePoint and OneDrive.
Let’s begin!
Microsoft SharePoint is a valuable collaboration tool designed for businesses requiring multiple individuals and teams to simultaneously work on Microsoft Office files, other documents, and products.
You can access the OneDrive app by downloading it onto your desktop or logging in via a web browser.
SharePoint is designed for team collaboration and document management, while OneDrive is primarily used for personal file storage and sharing.
The table below shows the features comparison between SharePoint and OneDrive:
| Feature | SharePoint | OneDrive |
|---|---|---|
| Cloud storage service | Yes | Yes |
| @mentions and comments | Yes | No |
| Tracking activity | Yes | No |
| Chat/sending messages | Yes | No |
| Creating libraries | Yes | No |
| Document collaboration | Yes | No |
| File sharing | Yes | Yes |
| Version control | No | Yes |
| Notifications/Alerts | Yes | Yes |
| Forums/Discussions | Yes | No |
| Mobile access | No | Yes |
| Live editing | Yes | No |
| Adding Notes/Comments | Yes | No |
| File management & transfer | Yes | Yes |
| Managing tasks | Yes | No |
SharePoint is mainly used as a tool for collaboration. It is a section of the Microsoft 365 suite, which means your team members can work together on a SharePoint document simultaneously. It provides top-level security and can create libraries, lists, posts, and notes from the platform.
In SharePoint, you can bring different departments together and let them collaborate or create separate sites with unique goals for each department. Some companies have completely transitioned to SharePoint, particularly those that have adopted a remote work model.
SharePoint is more than just a file storage system; it offers various features that facilitate company-wide communication and document management.
With SharePoint, you can create Communication & Team sites for different purposes. The Team site allows for collaboration within a group, while the Communication site enables you to broadcast updates to your entire business.
As for document management, SharePoint serves as an online folder system and provides greater efficiency and security. Storing documents online allows easier sorting and accessibility, enabling you to manage your business-related documents more effectively.
What is Microsoft OneDrive?
OneDrive is a cloud storage service part of the Microsoft 365 platform. It is primarily designed to store files that you are not yet ready to share with others. It comes in both personal and business versions, offering more features suitable for organizations.
Unlike other cloud storage solutions, OneDrive includes an offline synchronization engine that allows users to access their files even when their internet connection is limited or bad.
People primarily use OneDrive to store personal files such as family videos, pictures, and documents.
Also, sharing files and folders is a breeze with OneDrive. For instance, if you need to send numerous images to a publisher, you can upload them to OneDrive, share a link with the publisher, and provide access to the images.
Furthermore, OneDrive is not only a storage location for files but also a tool for creating them.
You can generate documents, spreadsheets, presentations, and more directly from OneDrive, and with instant syncing, files are easily accessible across multiple devices, including mobiles.
SharePoint and OneDrive share several similarities as they are both Microsoft products you can access through MS Office 365. However, they serve different purposes and have unique features.
SharePoint and OneDrive offer cloud storage space for files, and users can access them from anywhere in the world using any device with an internet connection.
They also provide enterprise-grade security features, including high-level encryption and secure SSL connections with 2048-bit keys.
However, the two products have significant differences. SharePoint is primarily designed as a collaboration tool and offers a range of features for customer management, dashboards, and intranet pages for departments to work together.
On the other hand, OneDrive is primarily a cloud storage service that allows users to access their files offline without an internet connection.
While OneDrive and SharePoint both offer online storage options, they serve different purposes. SharePoint is primarily used as an online document management system and communication site, while OneDrive is cloud storage that people mainly use to store & back up their files.
So, OneDrive is a cloud storage system designed for personal and business use, with no ambitions to extend beyond this function. In contrast, SharePoint aims to simplify collaboration, enhance customer service, and manage different sides of your organization.
In other words, the difference between OneDrive and SharePoint is in the specific needs they were designed to fulfill.
Below I’ve provided the differences between OneDrive and SharePoint:
Ownership of Files
When comparing SharePoint with OneDrive, file ownership is an essential topic. OneDrive is ideal for storing confidential files securely. It is best suited for maintaining private files.
Whereas SharePoint files are designed for collaboration, allowing teams to store and modify documents together in real-time.
If you want your team to stay on the same page, consider uploading your latest team document to SharePoint. On the other hand, OneDrive is a better option for confidential financial data.
Top-Level Security Features
SharePoint and OneDrive have similar protection measures for shared files, including rest and transit encryption, easy restoration of previous file versions, and compliance features.
However, SharePoint offers more robust access control, allowing IT teams to isolate malicious files and restrict user access to specific files.
OneDrive has access control for single-user accounts and is less restrictive. SharePoint’s granular version control and user access settings make it worthwhile for organizations concerned about document security and compliance.
Additionally, SharePoint can provide the extra security of a stand-alone server. At the same time, Microsoft 365, which includes OneDrive, provides granular access controls and encryption for all data transmitted to and from Microsoft’s servers.
Internal Connection
SharePoint can create an intranet, which provides internal web pages accessible only to your team. This feature benefits larger companies, with numerous staff members needing a centralized point to store their resources.
An intranet simplifies the onboarding process for new employees, and you can combine it with Microsoft Stream to provide training videos and tutorials.
HR departments can also create intranet pages requiring specific employee credentials.
Permissions Administration
While OneDrive and SharePoint both take advantage of Microsoft’s top-notch security, you still need to secure your files.
OneDrive offers complete control over who can open, edit, and download files. In contrast, SharePoint operates on a permission-by-committee system, where the site owner controls file access.
Collaborative Capabilities
SharePoint facilitates greater team collaboration with advanced features such as customized views and metadata entry.
On the other hand, OneDrive offers limited lightweight collaboration capabilities. If you choose to share your OneDrive for Business with your team, do not expect to find the advanced collaboration features available on SharePoint.
Document and Resource Regulation
OneDrive for work/school has SharePoint document features like workflows, templates, version control, and auditing but lacks marketing resources such as social media connections and communication sites.
In a business, each user gets an individual OneDrive account within the company’s account to store private docs before sharing. Personal OneDrive files can’t be shared in Microsoft Teams.
SharePoint is widely used for collaborative doc/file sharing with workflows and granular permissions. Marketing teams can customize SharePoint’s intranet to match their branding, but Microsoft 365 lacks the same options.
Content Management
Companies commonly use SharePoint for website development and internal documentation. Its Content Management System (CMS) enables publishing directly to the company website or sharing with customers/employees.
Companies can also create customized apps using SharePoint’s analytics and develop web pages, employee portals, and FAQ pages.
OneDrive doesn’t allow publishing content directly to the web but can share links to documents. Companies need Microsoft 365 or another CMS/website platform to publish work publicly.
In short, SharePoint is a comprehensive content management system allowing users to create websites and web applications, develop customized apps, and publish content directly. On the other hand, OneDrive is a file-hosting service that provides users with storage and sharing capabilities but not publishing functionality.
Usability & Functionality
OneDrive allows document storage, sharing, and version tracking for teams but lacks the features of SharePoint and Microsoft 365.
In contrast, SharePoint provides a collaborative workspace with dashboards, tasks, calendars, updates, and notifications. Teams can set up sites and dashboards with company-wide notifications, while a corporate portal provides searchable libraries and notifications with security-level control.
OneDrive is ideal for transferring all your computer files to online file storage. It is especially beneficial for freelancers who work on documents and need to share them with different clients while saving a copy of the files on the cloud.
OneDrive is also reliable for individuals seeking a personal cloud storage service. However, other alternatives, such as Google Drive, iCloud, and Dropbox, are available.
For advanced-level document management and creating intranet sites, SharePoint is the go-to platform. It offers a range of sophisticated features, including digital signature capabilities for critical business contracts and a broader collaborative workspace.
Below I’ve explained when you should OneDrive and when to choose SharePoint:
Initial Phase Assignments
Many businesses have multiple projects in their early stages that may still need to be ready to transform into a finished project condition.
OneDrive is perfect for these situations because you can personally work on different projects and ideas without disrupting the primary workflow of the company. When a project is approved, you can move the project files from OneDrive to SharePoint.
High Degree of Collaboration
With remote work becoming more common, organizations need a collaborative solution to keep employees connected. OneDrive is not suitable for this type of collaboration.
On the other hand, SharePoint comes with all the bells and whistles for all your team members to work together to reach their full potential.
As an administrator, you can create a communication site and different team sites for separate departments or small groups within a department through SharePoint. You can use SharePoint interfaces and features like Task lists, calendars, and project updates.
Members also inherit permissions for every new file, so they don’t have to ask for access whenever someone adds a new project file.
Expanding Your Teams
As teams expand or change, adding new employees to your organization and managing shifts can be messy. SharePoint can simplify the process by making employee web resources in one location.
You can efficiently distribute tutorials, training videos, and corporate policies using SharePoint sites.
While you can do the same thing in OneDrive, the lack of an intranet means there’s no clear flow for new team members. This can lead to misunderstandings and confusion without a logical path through training resources.
Though OneDrive and SharePoint have some similarities regarding file storage and external sharing, SharePoint offers a variety of features that go beyond OneDrive’s capabilities.
Here are the main SharePoint features that are not available on OneDrive:
Enterprise-Grade Security
SharePoint employs industry-standard encryption to protect both your moving and static data. Additionally, it provides around-the-clock oversight to respond to security threats and apply necessary security patches.
In a SharePoint library, you can make different categories for your documents, such as financial, training, and legal, making it easier to manage your files. Also, manage access for other users, granting permission to edit, view, or review the documents.
Create New Documents
You can create new documents directly within SharePoint using tools such as Word or Excel. These documents will automatically sync to the cloud and also exist as OneDrive files.
In SharePoint, you can grant access to your files with single users or groups you’ve created within the platform. You can give users different permissions; if an administrator allows, you can also share files with external users.
SharePoint is an online collaboration tool that allows multiple people to work on the same document simultaneously, with real-time co-authoring. Moreover, the version history of the documents is available by default so that users can see previous changes.
Make a News Post
SharePoint allows you to create short- or long-form articles in the form of a news post, keeping your organization members up-to-date on company goals and news.
Instead of manually doing tedious tasks, you can create automation in SharePoint, such as sending approval emails when a user creates or modifies a new document or sending automated digital signature requests for contracts.
Create Lists
SharePoint offers a range of templates to create easily eligible lists for anything from content scheduling to issue tracking.
Integrate OneNote
You can use OneNote to make quick notes for ideas or targets, and it’s easily accessible within SharePoint. But its name was changed to Notebook.
SharePoint is available as locally installed software for those who prefer not to use the online version. This version provides complete control to the IT team for tasks such as responding to security breaches, patches, backups, and updates.
SharePoint and OneDrive are fully compatible, and using both options can benefit your business as one offers the features the other lacks.
When you log in to OneDrive and SharePoint with the same Microsoft account, the two programs synchronize automatically. You can access all your SharePoint site documents through OneDrive.
So, why should you synchronize SharePoint with OneDrive?
Occasionally, a document or project exceeds its original range and must transfer from OneDrive to SharePoint so multiple users can work on it. That’s why Microsoft has integrated the two products and made the synchronization process as simple as possible.
Follow the steps below to sync OneDrive files with SharePoint:
- Open OneDrive and select the files and folders you want to share with your team.
- Right-click on the file and choose Copy to.
- Click on your SharePoint site from the left menu under Quick access and select Copy here.
Once the transfer is complete, the site members can use SharePoint to open and work on the file. Remember to inform everyone about the switch to SharePoint to avoid version control issues.
FAQs
Is SharePoint better than OneDrive?
No, for some cases, like as a customer management system, multiple dashboard options & collaboration tool SharePoint is better, and as a personal cloud storage service OneDrive is better.
When would you use SharePoint instead of OneDrive for business?
You should use SharePoint instead of OneDrive for business when sharing a file with many users in your organization and when multiple people need to collaborate.
Does SharePoint run on OneDrive?
When you sign in to SharePoint and OneDrive with the same Microsoft account, all your SharePoint site documents will be available in OneDrive. You can upload, open and delete SharePoint files through OneDrive.
Final Thoughts
SharePoint and OneDrive are valuable tools with unique features that provide services for different needs. SharePoint is better suited for collaboration on large-scale projects and managing complex workflows, while OneDrive is ideal for personal file storage and simple collaboration.
Through this article, you’ll understand the differences between OneDrive and SharePoint to help you determine when to use what tool.
Comment below if you have further questions, and we’ll get back to you.
