The Repair CD really only fixes boot problems, allow an Image Recovery, and your manufacturer may have added an option to launch Factory Recovery 'FROM the HDD'.
You should also be able to make a set of Factory Recovery DVDs. It's different for every manufacturer.
Which make and model do you have?
eg with my Compaq CQ61 Presario laptop, I can go into HP Recovery Manager (start search Recovery and the shortcut pops up)
It also has the option in the Manager for Recovery Disc Creation (set of 3 x DVDs + the Repair Disc CD/DVD again to boot from)
But since Factory Recovery is never convenient, it is better to make a System image AS WELL.
It's in the W7 Backup and Restore Center.
Again (on a clean empty system) you can make another set of DVDs.
Or it works to an external HDD (or 2nd HDD on a Tower)
This is most convenient when you have transferred all your stuff to the new computer and filled it up a bit.
It's better to keep the clean Image, and make further Images every week or whatever. Start deleting old HDD images when you start running out of space. They do get quite large (many GBs)
Easeus Todo is a good 3rd party app that does the same and is better than W7 Imaging.
It allows Image validation and mounting (to retrieve individual files&folders) and it makes incremental backups too)
W7 don't do that.