Mark the placement of the hole on the back of the tile with a grease pencil.
Lay a towel over a flat and level work surface. Place a flat-bottomed container large enough and deep enough to accommodate the tile and a flat piece of wood. Place a flat piece of wood that is at least as large as the tile into the container and set the tile on top of the wood.
Fill the container with water so that water covers the tile by 1/8 to 1/4 inch. Water keeps the core bit cool during drilling. Dry drilling causes too much heat and damages the core bit.
Equip a variable-speed drill with a diamond-tipped core drill bit made expressly for ceramic tile and stone. Choose a core drill bit that exactly matches the size of the hole you intend to drill.
Set the variable-speed drill to the lowest speed setting. Line up the core bit with the guideline for the hole. Turn the drill on while applying light steady pressure. Continue to bore through the tile until the core bit hits the wood. Add water as necessary to keep the tile submerged while drilling. Keep the variable-speed drill at its lowest setting to avoid fracturing or chipping the tile.