What effect do I need to achieve this?

I am trying to make an object look more realistic. Well its two objects and their interaction with eachother. I have a rubber floor and I’d like to place a steel object on top of that rubber texture. So in real life there would be some indentation for that particular place where the steel block is placed. Right now where the block and rubber floor meet looks very odd and unrealistic.

What is the best technique to give this more realism. I would think that the rubber would be displaced and a shadow would be produced.

Please see my image for reference