3chars,   With an ONLINE Predicted Failure the process would be to FORCE OFFLINE that drive, then when it is Offline to remove the drive and replace it. The replacement should start to rebuild upon adding it to the server, if not then assign as a Global Hot Spare and it should start. If the Predicted Failure drive is already in a Offline state, then you can go ahead and replace it. Let me know how it goes and if this helps. Thank you.
I have a PowerEdge T610 with a PERC H700 RAID controller.  Running Windows Server 2008 R2 Enterprise. All hard drives are connected to the H700 with two drives mirrored for the boot volume, 4 drives in a RAID 5 array for the data volume and 1 drive as a hot spare. One of the drives in the RAID 5 array is in predictive failure status. I have a drive on hand to replace it but I'm not clear as to the procedure for doing that. Do I just physically pull the bad drive and let the controller automatically recover using the hot spare, then replce the bad drive?  (And if the drive fails completely before I do anything, will the controller automatically swap in the hot spare?) Is there some more "graceful" procedure?  Should I use Open Manage to "Offline" the bad drive? 
HD in predictive failure in RAID 5 array - how to replace?