GPO VSS 1

Volume Shadow copy has saved my butt on file, exchange, and SQL servers.  Typically, IT departments discourage previous versions on desktops mainly because it opens up issues with disk space and if it’s really worth saving or rescuing an MP3 or AVI.

Of course, if you have the space on your client machines to do it, you can enable VSS and grant users the chance to recover files right from their own desktop machines.

First, create a new GPO and give a give it an appropriate name.
1. Enable the Volume Shadow Copy Service (VSS):

Computer Configuration->Windows Settings->Security Settings->System Services->Volume Shadow Copy and set to Automatic.

GPO VSS 3

2. Now give your users the ability to restore the files on their local PC’s:
User Configuration->Policies->Administrative Templates->Windows Components->Windows Explorer->Previous Versions->

Prevent restoring previous versions from backups  – disabled
Prevent restoring local previous versions – disabled

See the Previous Versions setting

See the Previous Versions setting