I would like to be notified via email everytime an update is made to a sheet shared between me and my colleagues. Does anyone know how to do this/if this is possible?
Yes, it is possible.
Go to >> "Tools" >> "Notifications rules" and then set the appropriate rules as per your requirements.
Have a look at the animated screenshot below:
So now, you can set the rule to immediately send you an email, whenever your spreadsheet is updated.
You can also set the notification on a particular cells or any range or any sheet.
I hope the above solution will help you, and if you need more help then please do comment below on this blog itself, I will try to help you out.