Error occurred in deployment step 'Activate Features': A timeout has occurred.

This is a common error I face while deploying.

Error occurred in deployment step 'Activate Features': A timeout has occurred.

Generally My approach is I select "No Activation " in Active Deployment Configuration Setting of solution.

But here is an alternative solution that you can try out:

Solution: Add the executionTimeout value

• Open the Web.config file in Notepad. 
• Note By default, this file is in the following location:

Program Files\Common Files\Microsoft Shared\Web server extensions\12\TEMPLATE\LAYOUTS

•  Add the executionTimeout value that you want. 

For example, replace the value as follows.

Existing code
 <location path="upload.aspx">
    <system.web>
      <httpRuntime maxRequestLength="2097151" />
    </system.web>
  </location>

Replacement code

 <location path="upload.aspx">
    <system.web>
      <httpRuntime executionTimeout="999999" maxRequestLength="2097151" />
    </system.web>
  </location>

• Click File, and then click Save.
• Open the web application Web.config file in Notepad.
• Note By default, this file is in the following folder:

C:\Inetpub\wwwroot\wss\VirtualDirectories\VirtualDirectoryFolder

• Change the following line in the file.

Existing line

<httpRuntime maxRequestLength="51200" />

Replacement line

<httpRuntime executionTimeout="999999" maxRequestLength="51200" />

• Click File, and then click Save.
• Exit Notepad.
• Do a IISRESET.