How do I add a Sub-Vi to the programming pallet?

Hey all, I've got two Questions:

1. In one of the LabVIEW tutorials I was looking at, there was a setting you could change for a user added Vi where you created a Producer-Consumer template, saved it as a sub vi, and added it to an area on the programming pallet. I can't remember how it was done, nor can I find the tutorial on how to do it
   
   
2. After doing that, there was an extra step where when you brought the sub vi to your block diagram, it posted the contents of the Sub Vi instead of just a block. How would I do that?