Sugar becomes one of the main needs of society. National sugar production is mostly from East Java, one of which is Kebon Agung Sugar Factory. The main problems which occur in this factory are: the high downtime and the delay in the arrival of raw materials at the milling station which results in not achieving the production target. This study aims to identify and to analyze the risk of critical failure, the root causes of risk and to provide appropriate improvement proposals to overcome the risks. The results of this study showed that the critical risk of the milling station lied mainly on the risk of damage to the cane cutter machine with RPN 229.88 and on the risk of work accidents with the value of RPN 47.44. The root cause of the risk of damage in the cane cutter machine  was when a foreign object hit the knife with a RRW value of 1.26, while the root cause of work accident risk  was due to a narrow work area with RRW value of 1.26. Proposed improvements to overcome the risk of damage to the cane cutter machine are: routine maintenance of machines, supervision and inspection of employees, increasing operator accuracy, as well as making appeals and counseling to farmers. In addition, the proposed improvements for overcoming the risk of workplace accidents are: to divide the work shift, to evaluate the workforce needs, and to improve the training and knowledge of employees about Occupational Safety and Health.