diff --git a/.betterer.results b/.betterer.results
index 7d474a677d1..446992a0562 100644
--- a/.betterer.results
+++ b/.betterer.results
@@ -7316,10 +7316,11 @@ exports[`better eslint`] = {
     "public/app/plugins/panel/canvas/InlineEditBody.tsx:5381": [
       [0, 0, 0, "Unexpected any. Specify a different type.", "0"],
       [0, 0, 0, "Unexpected any. Specify a different type.", "1"],
-      [0, 0, 0, "Unexpected any. Specify a different type.", "2"],
+      [0, 0, 0, "Do not use any type assertions.", "2"],
       [0, 0, 0, "Unexpected any. Specify a different type.", "3"],
-      [0, 0, 0, "Do not use any type assertions.", "4"],
-      [0, 0, 0, "Unexpected any. Specify a different type.", "5"]
+      [0, 0, 0, "Unexpected any. Specify a different type.", "4"],
+      [0, 0, 0, "Do not use any type assertions.", "5"],
+      [0, 0, 0, "Unexpected any. Specify a different type.", "6"]
     ],
     "public/app/plugins/panel/canvas/editor/APIEditor.tsx:5381": [
       [0, 0, 0, "Do not use any type assertions.", "0"],
diff --git a/public/app/plugins/panel/canvas/InlineEditBody.tsx b/public/app/plugins/panel/canvas/InlineEditBody.tsx
index c6d1c10f876..5f49051f5b4 100644
--- a/public/app/plugins/panel/canvas/InlineEditBody.tsx
+++ b/public/app/plugins/panel/canvas/InlineEditBody.tsx
@@ -1,24 +1,44 @@
+import { css } from '@emotion/css';
 import { get as lodashGet } from 'lodash';
-import React, { useMemo } from 'react';
+import React, { useMemo, useState } from 'react';
 import { useObservable } from 'react-use';
 
-import { DataFrame, PanelOptionsEditorBuilder, StandardEditorContext } from '@grafana/data';
+import {
+  DataFrame,
+  GrafanaTheme2,
+  PanelOptionsEditorBuilder,
+  SelectableValue,
+  StandardEditorContext,
+} from '@grafana/data';
 import { PanelOptionsSupplier } from '@grafana/data/src/panel/PanelPlugin';
 import { NestedValueAccess } from '@grafana/data/src/utils/OptionsUIBuilders';
+import { useStyles2 } from '@grafana/ui/src';
+import { AddLayerButton } from 'app/core/components/Layers/AddLayerButton';
+import { notFoundItem } from 'app/features/canvas/elements/notFound';
+import { ElementState } from 'app/features/canvas/runtime/element';
 import { FrameState } from 'app/features/canvas/runtime/frame';
 import { OptionsPaneCategory } from 'app/features/dashboard/components/PanelEditor/OptionsPaneCategory';
 import { OptionsPaneCategoryDescriptor } from 'app/features/dashboard/components/PanelEditor/OptionsPaneCategoryDescriptor';
 import { fillOptionsPaneItems } from 'app/features/dashboard/components/PanelEditor/getVisualizationOptions';
 import { setOptionImmutably } from 'app/features/dashboard/components/PanelEditor/utils';
 
+import { CanvasElementOptions, canvasElementRegistry } from '../../../features/canvas';
+
 import { activePanelSubject, InstanceState } from './CanvasPanel';
+import { TabsEditor } from './editor/TabsEditor';
 import { getElementEditor } from './editor/elementEditor';
 import { getLayerEditor } from './editor/layerEditor';
 import { addStandardCanvasEditorOptions } from './module';
+import { InlineEditTabs } from './types';
+import { getElementTypes } from './utils';
 
 export function InlineEditBody() {
   const activePanel = useObservable(activePanelSubject);
   const instanceState = activePanel?.panel.context?.instanceState;
+  const styles = useStyles2(getStyles);
+
+  const [activeTab, setActiveTab] = useState<string>(InlineEditTabs.SelectedElement);
+
   const pane = useMemo(() => {
     const p = activePanel?.panel;
     const state: InstanceState = instanceState;
@@ -27,10 +47,12 @@ export function InlineEditBody() {
     }
 
     const supplier = (builder: PanelOptionsEditorBuilder<any>, context: StandardEditorContext<any>) => {
-      builder.addNestedOptions(getLayerEditor(instanceState));
+      if (activeTab === InlineEditTabs.ElementManagement) {
+        builder.addNestedOptions(getLayerEditor(instanceState));
+      }
 
       const selection = state.selected;
-      if (selection?.length === 1) {
+      if (selection?.length === 1 && activeTab === InlineEditTabs.SelectedElement) {
         const element = selection[0];
         if (element && !(element instanceof FrameState)) {
           builder.addNestedOptions(
@@ -54,17 +76,51 @@ export function InlineEditBody() {
       },
       supplier
     );
-  }, [instanceState, activePanel]);
+  }, [instanceState, activePanel, activeTab]);
 
   const topLevelItemsContainerStyle = {
     marginLeft: 15,
     marginTop: 10,
   };
 
+  const onTabChange = (tab: string) => {
+    setActiveTab(tab);
+  };
+
+  const typeOptions = getElementTypes(instanceState?.scene.shouldShowAdvancedTypes).options;
+  const rootLayer: FrameState | undefined = instanceState?.layer;
+
+  const onAddItem = (sel: SelectableValue<string>) => {
+    const newItem = canvasElementRegistry.getIfExists(sel.value) ?? notFoundItem;
+    const newElementOptions = newItem.getNewOptions() as CanvasElementOptions;
+    newElementOptions.type = newItem.id;
+    if (newItem.defaultSize) {
+      newElementOptions.placement = { ...newElementOptions.placement, ...newItem.defaultSize };
+    }
+    if (rootLayer) {
+      const newElement = new ElementState(newItem, newElementOptions, rootLayer);
+      newElement.updateData(rootLayer.scene.context);
+      rootLayer.elements.push(newElement);
+      rootLayer.scene.save();
+
+      rootLayer.reinitializeMoveable();
+    }
+  };
+
+  const noElementSelected =
+    instanceState && activeTab === InlineEditTabs.SelectedElement && instanceState.selected.length === 0;
+
   return (
     <>
-      {pane.categories.map((p) => renderOptionsPaneCategoryDescriptor(p))}
       <div style={topLevelItemsContainerStyle}>{pane.items.map((item) => item.render())}</div>
+      <div style={topLevelItemsContainerStyle}>
+        <AddLayerButton onChange={onAddItem} options={typeOptions} label={'Add item'} />
+      </div>
+      <div style={topLevelItemsContainerStyle}>
+        <TabsEditor onTabChange={onTabChange} />
+        {pane.categories.map((p) => renderOptionsPaneCategoryDescriptor(p))}
+        {noElementSelected && <div className={styles.selectElement}>Please select an element</div>}
+      </div>
     </>
   );
 }
@@ -119,3 +175,10 @@ function getOptionsPaneCategoryDescriptor<T = any>(
   fillOptionsPaneItems(supplier, access, getOptionsPaneCategory, context);
   return root;
 }
+
+const getStyles = (theme: GrafanaTheme2) => ({
+  selectElement: css`
+    color: ${theme.colors.text.secondary};
+    padding: ${theme.spacing(2)};
+  `,
+});
diff --git a/public/app/plugins/panel/canvas/editor/TabsEditor.tsx b/public/app/plugins/panel/canvas/editor/TabsEditor.tsx
new file mode 100644
index 00000000000..d142f1f21a6
--- /dev/null
+++ b/public/app/plugins/panel/canvas/editor/TabsEditor.tsx
@@ -0,0 +1,38 @@
+import React, { useState } from 'react';
+
+import { Tab, TabsBar } from '@grafana/ui/src';
+
+import { InlineEditTabs } from '../types';
+
+type Props = {
+  onTabChange: (v: string) => void;
+};
+
+export const TabsEditor = ({ onTabChange }: Props) => {
+  const [activeTab, setActiveTab] = useState<string>(InlineEditTabs.SelectedElement);
+
+  const tabs = [
+    { label: 'Selected Element', value: InlineEditTabs.SelectedElement },
+    { label: 'Element Management', value: InlineEditTabs.ElementManagement },
+  ];
+
+  const onCurrentTabChange = (value: string) => {
+    onTabChange(value);
+    setActiveTab(value);
+  };
+
+  return (
+    <>
+      <TabsBar>
+        {tabs.map((t, index) => (
+          <Tab
+            key={`${t.value}-${index}`}
+            label={t.label}
+            active={t.value === activeTab}
+            onChangeTab={() => onCurrentTabChange(t.value!)}
+          />
+        ))}
+      </TabsBar>
+    </>
+  );
+};
diff --git a/public/app/plugins/panel/canvas/types.ts b/public/app/plugins/panel/canvas/types.ts
index 25898071058..5dfbd4fe6bb 100644
--- a/public/app/plugins/panel/canvas/types.ts
+++ b/public/app/plugins/panel/canvas/types.ts
@@ -15,3 +15,8 @@ export interface DragNode {
 export interface DropNode extends DragNode {
   pos: string;
 }
+
+export enum InlineEditTabs {
+  ElementManagement = 'element-management',
+  SelectedElement = 'selected-element',
+}