In plain language
It keeps one slow app from holding up a workflow forever.
Example
A code step that calls a slow API is stopped after 30 seconds, and the run is marked as errored.
Related terms
Retry and Backoff · Error Handling · Queue · HTTP Request
Common misconception
A timeout does not mean the remote action failed; the other system may have finished the work after the caller stopped waiting.
Implementation guidance
Know each platform’s step and run limits, set timeouts on outbound requests, move long jobs to asynchronous processing, and check for completed work before retrying.