The company or industry can increase system reliability and provide stress-free operation by adding redundant equivalent subsystems to the active unit. The warm standby system is accessible if the operational unit malfunctions, and the cold standby system can take over. This paper aims to analyze a system comprised of one operative unit, cold standby unit, and one warm standby unit. Cold standby is activated to become warm standby when the operative unit fails, and warm standby becomes operational immediately. A minor defect causes the warm standby unit to fail, whereas a major fault causes the operational unit to fail. Such systems are used by many businesses, sectors, and facilities to prevent operational and reputational losses. Cut-off values for the failure rate, activation rate, revenue cost, and cost per repairman visit have been calculated to determine when the system is profitable. Various system performance measures have been defined by using the Markov process and regeneration point method. [ABSTRACT FROM AUTHOR]