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GouthamFlag for India

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team site in office 365

Dear Experts

We recently migrated to office 365 premium and all the department heads  are provided with office 365 premium accounts, every department head has a team of 5 to 10 users reporting to them, now I am planning to centralized the documents storage of all the users reporting to the department head to store every piece of document in the team site and entire team has access for the document storing and collaboration.
It also happens cross department users can have access to other department team sites , any changes and updates done like even additional of document or modification their to be email auto notification to the team members, also wanted create folders and provide access to the vendors to upload their documents but access control to be set that they can only access their provided folder and perform upload/modify and edit.
please suggest me is this a best practice as at present data are in users machine and it has become their discretion to share or not and only if asked they will share and that to back and forth mail attachments putting us confusion.
Can I create department wise team site and provide the access please suggest, also how to create the team site please provide me the steps . Thanks in advance.
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Vasil Michev (MVP)
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