This study explores an innovative and sustainable approach to improve the performance and cost-effectiveness of hip joint replacements by redesigning the femoral head. The research focuses on integrating vertical grooves into the femoral head's surface, addressing critical concerns such as friction and wear. Utilizing CAD software and Ansys 20R1 simulation, models of both solid and hollow femoral heads and stems are created and subjected to varying loads. Key evaluation metrics encompass total deformation (TD), maximum principal stress (MPS), maximum strain energy (MSE), and maximum shear stress (MSS). The findings highlight the superior performance of the hollow femoral head with vertical grooves, showcasing reduced weight, friction, and surface contact, leading to minimized wear and tear. This innovative design not only optimizes production costs by utilizing less material but also maintains the necessary strength. A comprehensive comparative analysis of load-bearing capacity demonstrates that the hollow component stands out as a sustainable and cost-effective alternative to the solid counterpart in hip joint replacements. In conclusion, this research presents a novel femoral head design incorporating vertical grooves aimed at improving joint performance and cost-effectiveness. The innovation offers a financially efficient solution for hip joint replacements, potentially enhancing patient outcomes and reducing financial burdens on healthcare systems. The study contributes to medical engineering, providing relevant idea for the prosthetic industry and emphasizing sustainable and cost-effective healthcare solutions.