What is your organization's retention policy for OneDrive? Are there industry benchmarks that I can refer to?
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Every industry sector (and public sector) has different requirements for retention. Understand your organization's required period of retention, work closely with your legal department to come up with a data classification policy and SOP first. Based on that you can come up with a retention policy. Unfortunately it is not a simple process. Please ensure you get executive sponsorship for this as a first step since it would be a cross collaboration across departments.