Outside operation by a different company

Hi

We have requirement for our client, who is using E9.2. The outside operation for an item is performed on a work order, but in a different company. In this case, the raw materials are consumed and FG is produced and stored in WO's company, while the outside operation/service (labor/overhead) is being done by a different company.

Question: Can we use the outside operations functionality in WO to take care of this requirement , by creating WO in regular company and create outside PO for the service provider company. If yes, how do we handle the intercompany settlement of services provided and WO accounting transactions of materials, FG and labor/service (provided by different company). Appreciate your inputs.