Head nurses are the primary administrators in hospitals. Management skills among head nurses not only directly influence nurses’ satisfaction, buy also on quality of patient care. The purpose of this study was to explore the current self-efficacy of management, and the relationship between perceptions of self-efficacy of management and performance among head nurses. A cross-sectional study design was conducted. Two hundred eighty nine head nurses were conveniently selected from three medical centers and six district hospitals in Taipei. A structured questionnaire was developed to collect data from January to May of 1999. Two hundred seventy seven questionnaires were returned with a response rate of 95.8%. the results were as follows: 1) Head nurses possess about 85% assurance and 80% assurance and 80% actual performance of their responsibilities. The satisfactory level of their performance was 75%. 2)The self-efficacy of management could be predicated by years of clinical experience, level of administrative training, perceptions of well-done experiences, and study in related fields. 3)Head nurse’s self-efficacy of management was positively correlated with managerial performance. Specifically, 44% of the variance in job satisfaction could be predicated by self-appraisal of managerial performance. Hopefully, the results of this study can be used for the recruitment and training guidelines for future nursing administrators to improve managerial performance.