High Definition (HD) H.264/AVC video compression is the emerging necessity on nowadays home entertainment environment and so on. However, Although B-frame coding scheme provides better quality, only P-frame encoders are presented due to too high complexity and memory requirement. In this paper, a frame-parallel encoding scheme based on B-frame’s data independency is proposed. It can largely reduce the system memory bandwidth and improve the processing capability. Then, the proposed IME and FME scheduling can further enhance the hardware utilization for frame-parallel scheme. Finally, a case study is given to show that the proposed scheme can largely reduce 66% system bandwidth compared to direct implementation from previous P-frame encoder.