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How do I change the inactivity time period?

Change this code in the plugin's main php file. Set the time period to whatever you like. It's in seconds, so 3x60x60 is equal to 3 hours of inactivity.

define('MM_INACTIVITY_AUTO_LOG_OUT_MAX_INACTIVITY_TIME', 3*60*60);

How do I set the redirect URL on auto log out?

You can change this definition to any URL you like. The default is site_url(), which is your home page. You could set it to:

define('MM_INACTIVITY_AUTO_LOG_OUT_REDIRECT_URL', site_url());

define('MM_INACTIVITY_AUTO_LOG_OUT_REDIRECT_URL', 'http://www.example.com');

define('MM_INACTIVITY_AUTO_LOG_OUT_REDIRECT_URL', site_url() . '/auto-logged-out.html');