A modified generalized particle algorithm, MGPA, was suggested to improve the computational efficiency of standard SPH method in numerical analysis of high speed impact behavior. This method uses a numerical failure mechanism than material failure models to describe the target penetration. MGPA algorithm was more effective to describe the impact phenomena and new boundaries produced during the calculation process were well recognized and treated in the target penetration problem of a bullet. When bullet perforation problems were analyzed by this method, MGPA algorithm calculation gives the stable numerical solution and stress oscillation or particle penetration phenomena were not shown. The error range in ballistic velocity limit is less than $2{sim}13%$ for various target thickness.