Mr. Cottonpuff, the bunny toymaker, is ready to retire, and is looking for his successor. Holly, the bossy elf, is up to the task She has new ideas and rules she wants to try. However, she soon finds herself in quite the pickle and the Toy Factory needs to get back on track. With the help of Mr. Cottonpuff, Holly realizes that sometimes it's better to be kind and work together to get the job done.