Should cracked wood siding be replaced?

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the_matrix

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We are painting our house, and noticed the wood siding on the second story had small cracks running throughout. There are a few panels that are warping that we plan on replacing, but do panels like the one in the attached imagesiding.jpg that seem otherwise solid also need to be replaced? We're hoping someone with more experience with this might have some suggestions, I have more pictures if needed. Thanks for your help!
 
I wouldn't.

Prep the wood, make sure it is dry and prime and paint.

Welcome to the forum. :welcome:
 
That is clearly plywood so the cracks are just on the surface. I had cracking, peeling paint on lead base primer so I didn't want to sand. I did scrape off everything loose (being careful to collect chips). I first used a high-build primer. I put the first coat on with a broad putting knife so it only filled the chips & cracks. I then pained on a generous second coat followed by my regular house paint. The oldest spots are now 4 years old and still look good.
 
^This. I'd use an exterior rated stain suppressing oil based primer such as Cover Stain then top coated with a quality exterior paint.
 
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