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Best practices LODS on skeletal meshes?

So I imported a new character to be accurate a female and it’s like 40 000 polygons and it lags a lot, FPS to 30, from far you cannot really “Appreciate” so much the character so I was thinking maybe there is a way to make LODs or something anything I should take care of?
https://www.youtube.com/watch?v=awR1cpvRmvI I hope you like ice cube.

While in the SkeletalMesh/Amin editor in UDK, go to Mesh->Generate LOD.

40,000 poly’s is a lot, but I wouldn’t expect that to really affect FPS. Maybe something else is tanking performance.