The versioning capabilities in SharePoint document libraries are great for managing document approvals and if disaster strikes, rolling back to a known good version.
Microsoft Word’s Document Comparison feature takes this capability to the next level, allowing a visual comparison between two versions of the same document. This has many use cases. I’ve used this recently to compare versions of a contract document to identify changes may by another editor.
Here’s a short demo of document comparison and SharePoint versioning.
I’ve demonstrated this capability to a variety of people in legal, policies and management roles recently. It’s another good reason to work with documents in SharePoint.
You can also access the feature directly from Microsoft Word via the Compare button in the Review tab of the Ribbon.