In a typical scene, you shade, texture, and light objects to create the look you want, then you render. You can instead pre-render materials, textures and illumination in a process called baking (by render experts) or prelighting (by modeling experts).
Baking effectively freezes the illumination (and shadow and surface color, if wanted) of baked objects into an image file (if you bake to textures) or data (if you bake to vertices) that you can later apply to objects.
After you bake objects and apply the prerendered illumination to objects, you can simplify the scene by removing lights, materials, and textures (shading networks). Instead of computing illumination at render time, the renderer instead obtains it quickly from the applied file image or data that is produced (depending on what you bake to -- textures or vertices).