Sorry, I did not notice that your drive is in failed state. If drive is in failed state then you can replace the drive without making offline.  Steps will be
I have an R710/H700 controller and a single RAID 5 running on 4 drives with ESXi 6.5 as the OS.  I've noticed one of the RAID5 drives is blinking orange.  What is the correct method to replace a failing drive on the PERC H700?  Do I just pull the bad drive, wait for 30 seconds, then put a new one in?  I've done this on other PowerEdge systems and it was just a hot-swap. 
Correct way to replace drive in RAID