I'm in a similar situation. My wife's grandmother passed away almost four weeks ago. I had offered to scan her photos, like I did for my grandmother. Instead of one album and assorted loose photos, though, I have three big BOXES full of albums and another with a lot of loose photos.

My plan is to do this in stages. I'll take the oldest photos first (e.g. her wedding photos) and scan those. Then, I'll move onto the more recent ones (e.g. photos from the 70's/80's). Finally, I'll get to the most recent ones.

As I scan them, I'll put them in an area (to be determined) where family members can download them. (Likely something password protected and share the password among the family.) If I can, I might also set up a WordPress site where people can mark up photos - listing who is actually in the photos.

This isn't going to be a quick thing to do, but it'll definitely be worthwhile.