A documentary crew arrives at the offices of Dunder Mifflin to observe the employees and learn about modern management. Manager Michael Scott tries to paint a happy picture, while sales rep Jim fights with his nemesis Dwight and flirts with receptionist Pam.
A consultant arrives to teach the staff about tolerance and diversity but Michael insists on imparting his own knowledge. Meanwhile, Jim struggles to keep hold of a lucrative contract extension.
Michael doesn't want to upset the staff so he gets Dwight to pass on news about the company's reduced health provisions. Fed up with his nosiness, Jim and Pam pretend they are suffering from a variety of conditions including Ebola, Mad Cow Disease, spontaneous dentohydroplosion, hotdog fingers, nano-robot infection...
Michael arranges a morale-boosting birthday party for Meredith and is determined to come up with the funniest message in her card. Dwight wants a pact with Jim to fight the downsizing, and Michael regrets showing off when Oscar asks for sponsorship for a charity walk being undertaken by his nephew, who has cerebral palsy.
The office staff play a basketball game against the warehouse workers in which Jim shows off to impress Pam and upstage her fiancee who is on the opposing team.
It's time for the "Dundies", Dunder Mifflin's annual awards banquet (held at the neighborhood Chili's), and the staff must endure the excruciating performance of their inept emcee, boss Michael Scott.
Just as corporate tells Toby, one of the workers at the Scranton branch, to give a seminar on sexual harassment issues, Michael receives a visit from his obnoxious sales-rep friend Todd Packer. The two chauvinistic friends try to prove that the office is not in need of harassment counseling, but only wind up making the situation worse, causing yet another zany day at the office.
While Michael and Dwight are out of the office for the day trying to close a deal on a new condo for Michael, Jim and Pam arrange for the staff to participate in an "Office Olympics," where the workers play strange, invented games (among them, Dunderball, Hate Ball...and Pam Pong) that they usually play while the boss is out. At the end of the day, the festivities cheer up everyone - even the oblivious Michael.
The Office is forced into the parking lot for the day when a fire starts in the kitchen. To ease everyone's boredom, Jim suggests a game of "Desert Island" and "Who Would You Do?", where certain staff members reveal a little too much information about themselves. Throughout the day, Michael talks business with Ryan, leaving Dwight feeling left out.
While everyone else in the office enjoys the spooky Halloween festivities and talks about the staff's costumes, Michael ponders who he should fire when the threat of downsizing becomes a reality and his boss orders him to fire one of his staff. Meanwhile, Jim and Pam put Dwight's resume on job-searching websites, which may make Michael's job a little easier, and Pam encourages Jim to set his goals higher by applying for a better job, which makes Jim consider his friendship with Pam.