Build an Operational Guide from the ground up using a Wiki.

Stay a way from using a Word Document that requires constant version monitoring and uploading and downloading.

A Word Doc is okay as long as the users and creators of that information are not more than three people. Beyond three people, my experience has been that no one will really reference the guide (unless in the middle of crisis for CYA purposes) but will simply scan their inbox for the latest email referencing an operational process.

But here's the problem to using an online, dynamic, collaborative document with hyperlinks:

Most large organizations with that kind of need are also notoriously behind on the new collaborative social tools. Security and confidentiality concerns override any other concerns, including efficiency. As a result, their favorite tool, because of security, is Microsoft's Sharepoint. Frankly, 37signals project management collaborative tools are light years ahead. IMOP a Sharepoint site is everything, but collaborative. EXCEPT, amazingly, Sharepoint does have a WIKI option! Turn it on immediately. Do not wait, do not turn to the left or to the right.

Do not ask for permission -

the permissions to the WIKI are all built into the Sharepoint structure.

This satisfies the legal people and you can extend the rights to hundreds of collaborating partners.

If you are using Sharepoint 2007, follow these screenshots to turn the Wiki on now: