The lumpy soil is a by product of the open-pit mining. A composite-lumpy material (in which, the lumps are randomly distributed in the reconstituted soil) is being created due to the degradation of the initial granular structure. In the present study, the compression and failure behaviour of an artificial lumpy material with randomly distributed inclusions are investigated using the finite element method. The computation results show that the stress ratio, defined as the ratio of the volume average stress between the lumps and the reconstituted soil within the inter-lump voids, is significantly affected by both the volume fraction and the preconsolidation pressure of the lumps under an isotropic compression path, while the volume fraction of the lumps plays a minor role under a triaxial compression path. Based on the simulation results, a homogenization law was proposed utilizing the secant stiffnesses.