I'm giving just some suggestions and thoughts about time and physics, because I don't have an answer to your question. That's a very interesting one, I'm asking myself since a long time too. Has helped to me a lot to think time as a relation effect between things of the world, more than a variable in itself: the fact of considering it a variable or a parameter may be just a zero-th order approximation of a much more complex answer.
I think that a statistical answer, such as that regarding entropy, goes in the right direction, but is potentially dangerours also because the concept of entropy (and statistics in itself, I think to H-theorem) is not actually well-defined. I think also that risks to be tautological; answering that time is related to entropy, but entropy varies with time, pose a new thing to consider, entropy, but nothing really clear about the nature of time.
Assuming the relational nature of time, is clear that we cannot understand it without understanding what is space first; we can say that the world has three or eleven dimensions, or that they are not constant, maybe they depend on location in time and space (mind blowing, isn't it), maybe they are not even integers, but I think that if we insist to try giving an answer of this kind we are just going far and far away from an actual profound understanding and we are still avoiding to answer why the things are the way they are, that is also the reason why physics and phylosophy were born together and in the past there was no distinction between the two. This is a substantial problem of science as it is thought today, that to understand, it rationalizes and conceptualize and detach things from the world, but maybe reality doesn't work that way; you maybe can't actually think about entities, such as time and space and mass and things, because they may not have a substance, they may not have a nature at all.
So, in summary, there is a deep cut between the mathematical/logical description and the nature of time, if the nature of it exists at all. The only thing that helped to me is stopping giving the time a substantiality in itself and thinking it like an interaction process; the analogy is like the old caloric and the heat.
I asked about this stuff to my professor in the past and he talked about relational quantum mechanics of Carlo Rovelli. I don't know anything about it, but you can give it a try. Hope that these suggestions help.