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Alternatives to .pst files as storage solutions?

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We have a serious .pst file issue in our company. My predecessor recommended to our users that when they reached the limit of their message store, they should pick a date and move everything to archives. The problem with this is of course that we have lots of important information being stored on local hard drives in volatile archive files instead of safely on our exchange server. 

I'm curious to hear how others are handling this. I've seen too many tears shed over corrupted or accidentally deleted .pst files that users didn't realize were being stored locally. I took inventory, and we've got about 300GB of .pst hanging around on local machines to date. 

So what is your policy on .pst files? Do you allow them? Do you increase your information store and keep everything on the exchange server while implementing a "touch it once" rule? Something's gotta give, and training is going to be a part of it, but I'd like to present my boss with a plan to tackle this once and for all. It is NOT budgeted for, but if we can swing a low(ish) cost solution that means stopping the hoarding mentality our users have with emails, we will all sleep better at night. 


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