In the conference room where Charles is set up for the day, Michael's trying to "get to know" Charles, but really only getting on his nerves. He does learn that Charles comes to them from the steel industry, which obviously would be a deal-breaker if it were up to Michael. Then he moves on to his main point: how to manage Michael Scott, which is to not manage him at all. "Jan would mostly come by when she was super horny, and Ryan would come by to visit his parents and do laundry, so... are we clear?" They are not, so Charles clarifies it. Clearly.
Michael tries to get Wallace on the phone again and gets nowhere, so Dwight tries to demonstrate how to charm someone. Which he does by calling back as "Michael Scotch" and claiming to have Wallace's son in the trunk of his car. Michael hangs up in a panic, then calls back and assures the receptionist that Michael Scotch will return Wallace's son safely. Whew, crisis averted. Michael begs to talk to Wallace some more, and finally the receptionist transfers him to... Charles's cell phone. Michael freezes, while Charles asks the silent line who it is. Finally Michael blurts, "I was never given a name!" and hangs up, Whew, crisis averted again.
Jim is very conscious of Charles staring at him through the conference room window while he works. So is Dwight. However, they have very different reactions to the situation.
Lunch arrives, Charles's treat, which thrills everyone but Michael, after he brought bagels in. "I do this for every branch I go to," Charles says. "If you do not like it, then I think there are some bagels left over from this morning." An increasingly desperate Michael retreats to his office to make further futile attempts to get Wallace on the phone.
At lunch, Kelly quietly asks Angela if she should seduce Charles. "No, no one wants to see that," Angela says. Speak for yourself, cat lady.
Kevin approaches Michael to say he screwed up some spreadsheets and will need to fix it over the weekend. Completely forgetting (or ignoring) the new overtime rules, Michael approves it, but Charles overhears and tells Kevin no. Michael tries to overrule Charles, and when Charles doesn't let him, he starts repeating everything Charles says, in front of the whole staff. Pam THs about how she can tell how upset Michael is by how infantile his comedy becomes, and Michael must be really upset, since he skipped the Ace Venture butt-talking thing. Back in the bullpen, everyone starts telling Michael to back off, and eventually he stops it by trying to play it off as a joke and calling a continuation of the "PPC" morning meeting.