How to handle a subcontract manufacturing step/routing within a production order?

Hello.

I have a client who produces a product in their own factory. At the end of their manufacturing process they send their item out to have a test performed on it. Ideally, I'd love to create another routing within the production order itself to reflect this operation. However, this routing would also need to ship the goods out to the subcontract manufacturer and allow the receipt of materials back into inventory. Also, there's a charge associated with this activity, so a purchase order would need to be raised to cover the cost.

My current thought on how to get started is to create another location for this subcontract manufacturer, add the routing to the BOO showing this service being performed at said location, and manually generate a Purchase Order for a service item to send along with the items being shipped to the subcontract manufacturer for the service being performed.

Thoughts?

Cheers.

Julie