What is SharePoint? A Complete Guide for Businesses (2026)

TL;DR: What is SharePoint?
Microsoft SharePoint is a secure, web-based platform in Microsoft 365 that helps organizations store, manage, share, and collaborate on documents and information through intranet sites, team workspaces, and automated business workflows.

Why SharePoint Matters Today

Would your organization save time and money if every document, idea, and project update was always accessible—securely, from anywhere?

That’s exactly what SharePoint enables. Microsoft SharePoint is trusted by enterprises worldwide and is widely adopted across Fortune 500 organizations.

When people ask “What is SharePoint?” they are usually looking for a solution to:

  • Lost or duplicated files
  • Slow collaboration across departments
  • Compliance and document control challenges
  • Disconnected tools and information silos

SharePoint brings content, communication, and business processes together in one connected digital workplace.

What is Microsoft SharePoint?

Microsoft SharePoint is a browser-based collaboration and content management platform designed to help organizations:

  • Securely store documents
  • Share knowledge across teams
  • Build intranet portals
  • Automate workflows
  • Integrate with Microsoft 365 tools like Teams, OneDrive, Outlook, and Power Platform

In simple terms, SharePoint is the foundation many businesses use to manage information and collaboration at scale.

What is SharePoint Used For?

SharePoint is used across industries for four major business purposes:

1. Document Management and Secure File Sharing

SharePoint provides centralized document libraries where teams can:

  • Store and organize files with metadata
  • Track version history and approvals
  • Control access with permissions
  • Search content quickly across the organization

Many companies use SharePoint to replace traditional file servers with a more secure, cloud-based system making it a powerful SharePoint document management system.

2. Team Collaboration and Project Workspaces

SharePoint enables real-time collaboration through Team Sites where employees can:

  • Co-author documents simultaneously
  • Share calendars and tasks
  • Manage project deliverables n- Connect conversations from Microsoft Teams directly to shared files

SharePoint is the content backbone behind Teams collaboration.

3. Intranet Portals and Internal Communication

Organizations use SharePoint Communication Sites to build modern intranets, including:

  • Company news and announcements
  • HR policies and employee resources
  • Knowledge bases and training hubs
  • Department portals and navigation

This makes SharePoint a powerful tool for improving internal communication and employee experience.

4. Workflow Automation and Business Integration

SharePoint works deeply with Microsoft Power Platform, allowing businesses to:

  • Automate approvals and document routing
  • Build custom business apps using Power Apps
  • Integrate SharePoint with ERP and CRM systems (SAP, Salesforce, Dynamics)

This transforms SharePoint from a document tool into a workflow engine.

A Brief History of SharePoint

SharePoint was first introduced in 2001 as a Microsoft web-based platform for content storage and collaboration.

Over time, it evolved through multiple versions:

  • SharePoint 2003
  • SharePoint 2007
  • SharePoint 2010
  • SharePoint 2013
  • SharePoint 2016 / 2019

Today, most organizations use SharePoint Online, the cloud version included with Microsoft 365.

SharePoint Online vs SharePoint Server (On-Premises)

Businesses can choose between different deployment options:

VersionBest For
SharePoint OnlineCloud-first organizations wanting automatic updates and lower infrastructure management
SharePoint Server (On-Prem)Organizations needing full local control due to strict regulatory or legacy requirements
Hybrid SharePointEnterprises balancing cloud collaboration with on-prem data residency needs

Modern SharePoint vs Classic SharePoint

Microsoft introduced Modern SharePoint in 2017 to improve usability and scalability.

Key differences include:

  • Modern sites use a flat architecture instead of subsites
  • Better mobile experience
  • Faster page building with modern web parts
  • Improved navigation and governance

Most intranet and collaboration projects are built on Modern SharePoint.

Types of SharePoint Sites (And When to Use Them)

Team Sites

Team Sites are built for collaboration within departments or project teams.

Examples:

  • Product launch planning site
  • HR onboarding workspace
  • Regional sales enablement hub

Team Sites connect with Microsoft Teams, Planner, and Group calendars.

Communication Sites

Communication Sites are designed for broadcasting information across the organization.

Examples:

  • Company intranet homepage
  • IT support portal
  • Employee training resource center

Channel Sites (Teams Connected)

When private or shared channels are created in Microsoft Teams, SharePoint automatically provisions channel-specific sites for document storage with unique permissions.

Core Features That Define SharePoint

SharePoint is built on several foundational capabilities:

  • Sites and pages
  • Document libraries
  • Lists and structured data
  • Metadata and search
  • Permissions and governance controls
  • Workflow automation via Power Automate
  • Integration with Microsoft 365 ecosystem

SharePoint vs OneDrive vs Teams (Quick Comparison)

Many organizations ask how SharePoint compares to other Microsoft tools:

ToolPrimary Purpose
OneDrivePersonal file storage for individual users
SharePointTeam and organization-wide content management and collaboration
Microsoft TeamsChat, meetings, and collaboration interface (SharePoint stores the files behind Teams)

Our Detailed Comparison Study On SharePoint vs OneDrive Vs Teams

Who Uses SharePoint?

SharePoint is widely used by:

  • IT teams managing governance and compliance
  • HR departments building employee portals
  • Operations teams automating workflows
  • Project teams collaborating across locations
  • Enterprises centralizing knowledge and documents

Best Practices for SharePoint Success

To maximize SharePoint value, organizations should:

  • Design a clear site architecture
  • Use metadata and tagging for search
  • Apply governance and permission standards
  • Train users for adoption
  • Regularly review the intranet performance

Many companies partner with SharePoint consulting experts to ensure long-term success.

FAQ On SharePoint

SharePoint is used for document management, team collaboration, intranet portals, workflow automation, and knowledge sharing across organizations.
Yes. SharePoint includes encryption, role-based permissions, audit trails, and Microsoft 365 compliance controls.
OneDrive is for personal file storage, while SharePoint is designed for team and organization-wide collaboration and content management.
Yes. Every Team in Microsoft Teams stores its files in SharePoint, making SharePoint the document backbone of Teams.
Many organizations migrate from file servers to SharePoint Online for secure cloud-based storage, better collaboration, and version control.
SharePoint Online is the cloud version of SharePoint included in Microsoft 365, offering automatic updates and reduced infrastructure management.
Most SharePoint deployments take 4–12 weeks depending on intranet scope, governance needs, and integration complexity.
SharePoint Consulting helps organizations plan architecture, migrate content, improve adoption, and build scalable intranet and workflow solutions.

Conclusion: Why SharePoint Remains Essential

Microsoft SharePoint is more than a document storage system.

It is a collaboration platform, a SharePoint intranet foundation, a workflow automation engine, and a secure content hub powering modern digital workplaces.

If your organization wants to unlock SharePoint’s full potential—through intranet design, migration, governance, or integration—working with experienced SharePoint consulting experts can accelerate success.

Need help planning or optimizing SharePoint for your business?
Explore our SharePoint services to build a secure, scalable digital workplace.

Bhupendra Singh

About Author

Bhupendra Singh

Bhupendra is a Digital Transformation Expert and Microsoft 365 Consultant who helps organizations modernize the way they work using the Microsoft 365 suite of services. As a Microsoft Certified Teams Administrator Associate, with credentials in Microsoft 365 Fundamentals and the Microsoft Service Adoption Specialist assessment, he combines technical expertise with adoption strategies to drive meaningful business change.