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This step should not be necessary under normal circumstances.
In the time it took to read the previous paragraph Lync Server should have synchronized and outstanding changes in Active Directory and Step #2 can be manually processed.
Take note that the there is another difference here between the Lync and Communicator clients.
For standard 32-bit operating systems the registry path below is the same regardless of the client versions (OC 2007 R2 with July 2009 update or Lync 2010 RC) but previously 64-bit operating systems running the 32-bit only OC 2007 R2 client had to have the setting created under the Wow6432Node policies key.
Once you enable this option, skype for business picture not updating error can be resolved.
If you cannot find it here, you can check it in \Local\Microsoft\Communicator directory. It can be a weird kind of solution when your picture does not show in Outlook, Lync or Skype. This solution can be applied to the Office 365 applications also. Select People or Contacts depending on your versio of Outlook. Enable the option on the right side that says “Show user photographs when available“.
Also make sure that you can see your profile pic in the Outlook Web App.
This is one of the other solution which will fix the problem.; microsoft.support = microsoft.support