Finite element modelling (FEM) is performed on AlN-TiN composites. The structure-property relationships are studied for 5 and 10vol.% TiN composites in view of thermal and thermo-mechanical properties. Thermal stresses are simulated at various temperatures for the 5 and 10% TiN samples in homogeneous and heterogeneous temperature environments. It is found that compressive stresses are associated with the microstructure and these stresses are largest at the interface of the AlN-TiN phases. In addition, thermal strains are simulated at various temperatures for both the compositions. Thermal conductivity and thermal expansion coefficient are estimated using FEM and compared with other known analytical methods.