Picard as a Borg! Brilliance! This was such a wonderful story. Riker is thrown into the deep end by inheriting the Enterprise, and dealing with a second-on-command who is entirely too brash and doesn't take orders well, but pushes him to be a better captain. The resolution is also very well done.
Also of note is the next episode, Family, where Picard goes back home to visit his brother and his family, and he has to come to terms with what the Borg did to him. The scene of the two brothers fighting in the vineyard is so powerful.