Not quite. You're usually measuring time
in a specific model. Most often, that's the RAM model, where memory access and arithmetic operations take constant time (defined as one time step). The author is using a different model, but doesn't formally define it and instead tries to make it fit wall-clock time. That requires far more elaborate modelling, ends up being extremely complicated, and usually doesn't yield all that much additional insight. That's why computer scientists usually use the RAM model - it captures the most important aspects of computers, but omits others as they're hard to model accurately. The memory hierarchy is one of these.
Some models where such things are studied in more details include the external memory model (which has a two-level hierarchy - cache and main memory, or main memory and disk) and cache-oblivious models.
Most of the time, you don't need that extra information, though, and the RAM model suffices.