Introduction: Hospitals are challenged to achieve highly patient outcomes while facing mounting financial constraints. Studies of high-performing organizations suggest that one key to success is an engaged workforce that acts proactively to resolve performance problems. Aim: Explore head nurses' interpersonal relationships and it's effect on work engagement and proactive work behavior. Study design: A descriptive correlational. Setting: This study was conducted in all departments at Assuit University Hospitals includes (Main Hospital, Pediatric Hospital, Women's Health Hospital). Subject and Method: The study subject consisted of (88) head nurse working in all departments of selected Hospitals. The data collected through self – administered questionnaire which includes personal characteristics data, Relational Coordination, Utrecht Work Engagement and Proactive Work Behavior Scale. Results: There was statistically significant relation between interpersonal relationships among head nurses, nurse administrators & physicians with work engagement and proactive work behavior. There was statistically significant relation between work engagement and proactive work behavior. Conclusion: There was a positive correlation between interpersonal relationships with work engagement and proactive work behavior. Recommendations: Implement continuous training programs for the different categories of health care providers to improve interpersonal relationships and work engagement &proactive work behavior.