Takt time is the pace a process has to run at to keep up with demand: available working time divided by units required. Eight hours and 240 units gives a takt of two minutes.
It is a target, not a measurement, and that is what separates it from the two terms it gets confused with. Cycle time is how long a step actually takes. Lead time is how long the whole thing takes as the customer experiences it. Takt is set by demand and exists to be compared against cycle time — above it and the process cannot keep up, well below and capacity is sitting idle.
The comparison is the point. “Faster” is arguable; “three minutes against a takt of two” is not, and it sizes the gap precisely.
Two things go wrong with it in practice. Teams recalculate takt against this week’s orders, producing a target that moves faster than anyone can design against — it should reflect stable demand across a planning period. And takt gets read as a speed limit to beat rather than a rhythm to match, which is how a process ends up building inventory it was never asked for.