I basically making like a huge fallen log that you can walk around in out of planes but on the inside I want it to have a wood grain texture so I took a picture of some cut wood that was just in my garage and i just want to know the steps of making that picture into a material.
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Make a new material like everyone else has said.
Then, under Main Maps, you should see an option called Albedo with a gray square to its left. Drag your picture into this square.
The other answers gave me hints, but I was unable to actually figure out how to do what they said. This is just what worked for me.
This should be pretty simple:
You just have to import your picture into unity. (Drag and drop it there)
Then click Assets → Create → Material. Then open up the material you just created and drag your picture to the Inspector panel into the box where it says “None (Texture 2D)”. Then just drag the material to the game object you want to be textured!
Hope you get what I mean (this is my first answer here) 
Once you have the image in your Assets
- Create a new Material.
- Change the Shader of the Material to “Unlit/Texture”. You’ll get the following
- Drag the image to where it says “None (Texture)” or click the select button and select the image. Then you’ll get the texture
- Put he image in your assets folder
- Go to Assets->Create->Material
- Click on the material in you assets
- There should be a large gray square
next to the Tiling and Offset
Settings. Click on the select
button in its corner. - In the resulting dialog, Choose your
image - Drag the material onto the object
you want to have that material
As to making a different texture on the inside and outside of the log, you will need to UV map
if you make a material in the project panel you should be able to put a 2d texture on to it in the inspector.
so make your material, then open it in the inspector, and you can then drag and drop your image onto it