Newbie Question - LD_LIBRARY_PATH

Hello,

When compiling some software from source, I get an error message
complaining that the make process cannot find my LIBDIR path. So, in
/etc/profile I added the following under the HISTSIZE:1000 entry:

LD_LIBRARY_PATH=`/usr/lib:/usr/local/lib`

Then added LD_LIBRARY_PATH to the export line.

I still get the same complaints, so apparently I need to do more. Can
anyone tell me how to set my LIBDIR path in my profile? 

Thank you,

Will