What should general shared folder default permissions be?

[Guest Alan-Seattle]

When we create a file server folder, we use the Share Full Control to

Everyone policy and lock down folder security using NTFS (Security)

permissions. When we create a folder on our server, it defaults to

Administrators (servername\Administrators)-FC; CREATOR OWNER-Special-FC of

subfolders and files only; SYSTEM-FC. I can't find any documentation on

recommended standard folder security. What are the Administrators

(servername/Administrators) and SYSTEM FC permissions used for? If I remove

those 2 permissions and simply lock the folder down to Domain Admins-FC and

give the proper folder permissions to the groups requesting it, what am I

undoing functionality-wise? Are SYSTEM permissions used by the Backup

Operators group?

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Alan