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The hard disk platters are spinning around at high speed, and the spin speed is not synchronized to the process that moves the read/write heads to the correct cylinder on a random access on the hard disk. Therefore, at the time that the heads arrive at the correct cylinder, the actual sector that is needed may be anywhere. After the actuator assembly has completed its seek to the correct track, the drive must wait for the correct sector to come around to where the read/write heads are located. This time is called latency. Latency is directly related to the spindle speed of the drive and such is influenced solely by the drive's spindle characteristics. This operation page discussing spindle speeds also contains information relevant to latency.
Conceptually, latency is rather simple to understand; it is also easy to calculate. The faster the disk is spinning, the quicker the correct sector will rotate under the heads, and the lower latency will be. Sometimes the sector will be at just the right spot when the seek is completed, and the latency for that access will be close to zero. Sometimes the needed sector will have just passed the head and in this "worst case", a full rotation will be needed before the sector can be read. On average, latency will be half the time it takes for a full rotation of the disk.