Thanks for the swift reply. I used the 'True scale' option and the penetration problem is solved. The deformation is in limits now.
Actually I am trying to topology optimize the implant. I am getting these error about non-linearity in the problem so it's not running the optimization problem. The curved plate and femoral head have a frictional value of 0.3. The geometries are non linear and large deformations is turned off. I feel the frictional contact is making the problem non-linear.
Below is my optimization region: