An efficient boundary element computational technique for use with the elastic sliding contact problem is developed based on the penalty function method. In this problem, it is sufficient that two contact conditions, that is, slip and opening states on the contact region, are considered. The contact coditions are introduced to the virtual work function with penalty coefficients and the integral equation is discretized using an ordinary basic equation of the boundary element method. In order to demonstrate the practical applicability of the present method, contact problems of a thermal print head and a platen roller are analyzed and the results are compared with those obtained using the conventional method.