I have been going between my house and my girlfriends house a lot lately and have been having to deal with multiple versions of papers. I save one to my laptop then copy it back to my desktop. So I decided to try google docs, its actually one of the only google apps that I don't use. But this week, with 4 papers due I didn't want to have 8 versions a week to keep track of. So I am using google docs to keep things straight. At first I was sure to copy my work from docs to my computer, just in case. I still do on larger papers, but now I just use it, type in it, and save it there. I can also share my docs with people so they can see where I am in the process and give it a quick once over proofing wise. It has streamlined my workflow. I look forward to google wave as well to use as a collaborative time saving tool.
Its amazing how portable our files can be! I haven't tried out Google Docs yet, but one feature that has been amazing for me this semester is the sync feature on Zotero. Its so nice to have access to what you're current projects on whether you're at home or at work. I carry a flash drive around all the time that has my paper on it, but maybe that is no longer needed if Google Docs will provide access to my files wherever there is an Internet connection.
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