Abstract A two dissimiliar unit standby system is analysed. The priority unit can either be in normal or partial operative mode. When the unit fails from the partial mode, it undergoes minor repair and the unit becomes operative with different failure rate. If this unit fails again, it goes to major repair after which it works as good as new. The standby unit while in use is either operative or failed. This non priority unit fails without passing through the partial failure mode and undergoes only one type of repair with different repair time distribution. Failure and repair time distributions are negative exponential and general respectively. Regenerative technique in MRP is applied to obtain several reliability characteristics of interest to system designers.