Has to be designer - You can also add a Sequence activity to the Designer panel to create a new sequence, or simply drag an activity from the Activities panel and Studio automatically adds a parent sequence to it.
"The Outline panel displays the project hierarchy, and all available nodes. "
Source: https://docs.uipath.com/studio/standalone/2023.4/user-guide/the-user-interface
B. Designer panel
The Designer panel is where you visually design and arrange your automation workflow. It provides a canvas where you can drag and drop activities from the Activities panel or from the Snippets panel (option A) onto the Sequence.
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