When a documentary crew comes to the offices of Dunder Mifflin to observe the employees and learn about modern management, manager Michael Scott (Steve Carell) tries to paint a happy picture of his domain, but his jokes keep falling flat. Then, worse, his supervisor from the corporate office tells him that his branch may be downsized. Making a characteristically bad leadership decision, Michael decides not to tell his staff, but the information quickly leaks. Meanwhile sales rep Jim (John Krasinski) spars with his irritating nemesis Dwight (Rainn Wilson), and flirts with office receptionist Pam (Jenna Fischer), until they are all forced to consider what their options are if there is downsizing. B.J. Novak also stars.

When a special consultant, Mr. Brown (guest star Larry Wilmore), arrives to teach a seminar on racial tolerance and diversity in the workplace, Michael implies that it was his idea while in reality his offensive behavior necessitated the training. When Mr. Brown has a staff member reenact one of Michael's past indiscretions, Michael, not satisfied with the consultant's workshop, decides to hold his own racial teach-in later that afternoon. Meanwhile, Jim (John Krasinski) is not having a good day after losing his biggest yearly commission to Dwight (Rainn Wilson). Jenna Fischer and B.J. Novak also star.

When Corporate wants Michael (Steve Carell) to pick a cheaper health plan for his employees, rather than lose popularity points with his staff, he shirks the responsibility and Dwight (Rainn Wilson) happily accepts the task. Delighted with his new position of power, Dwight takes over the conference room as his new "office" and manages to offend everyone by asking staff members to divulge their private medical history. Jim (John Krasinski) and Pam (Jenna Fischer) jokingly create fake illnesses only to infuriate Dwight. B.J. Novak also stars.

Amid the rumors of downsizing, Michael (Steve Carell) tries to raise employee morale with a birthday party, despite the fact that the closest birthday is a month away. As the birthday card for Meredith (Kate Flannery) makes the rounds in the office, Michael struggles to pen the funniest birthday message. Meanwhile, Dwight (Rainn Wilson) asks Jim (John Krasinski) to form a "Survivor"-type alliance so they can protect themselves during the upcoming downsizing. Elsewhere, Oscar (Oscar Nunez) collects pledges for his nephew's cerebral palsy charity walk. Michael tops everyone's donation by offering twenty-five dollars - not realizing the donation is per mile - and tries to back track on his generous offer. Jenna Fischer and B.J. Novak also star.

Michael (Steve Carell) and select members of the office staff prepare for a game of basketball against the workers in the warehouse. Overly confident about his team's ability, Michael trash-talks his opponents and he makes a bet - the losing team has to work Saturday. During the game, Jim (John Krasinski) shows off to impress Pam (Jenna Fischer), whose fiancé is on the opposing team. B.J. Novak also stars.

An attractive woman arrives at the office to sell purses and causes furtive glances from male staff members who vie for her attention. Dwight (Rainn Wilson) attempts to ask her out on a date but his advances are deflected, leaving the door open for Michael (Steve Carell) to step in. Michael believes he's going to "score" by giving her a ride home but his chances are blown by another sly co-worker. John Krasinski, Jenna Fischer and B.J. Novak also star.