Dieselisation
Weighing against the cost of, and inertia against, replacing the large investment that railroads had in existing steam power were the dramatic increases in flexibility and efficiency with diesel. The fastest and most powerful steam locomotives were faster and more powerful than diesels; however, their range of efficient operation was severely limited. Diesels pro-rate their fuel usage to the length of trains, which a steam engine cannot do. Multiple-unit diesel power is scalable to power requirements with one locomotive crew; steam power is not. A high speed Hudson steam locomotive is good for only one situation, high speeds on level grades. The diesel locomotive can be operated by a single person, with no need of a fireman to run the boiler (two person cab crews may be required for other reasons). Also, diesels use much less fuel and no manpower when idling, something locomotives often do. Diesels can be parked running for days unattended, whereas steam engines must be constantly tended to if not completely shut down. Bringing a steam engine boiler up to operating temperature is often regarded as both an art and science, requiring much training and experience. A diesel is much simpler to start and shut down.
Diesel locomotive
The first regular use of diesel–electric locomotives was in switching (shunter) applications, which were more forgiving than mainline applications of the limitations of contemporary diesel technology and where the idling economy of diesel relative to steam would be most beneficial. GE entered a collaboration with the American Locomotive Company (ALCO) and Ingersoll-Rand (the "AGEIR" consortium) in 1924 to produce a prototype "boxcab" locomotive delivered in July 1925. This locomotive demonstrated that the diesel–electric power unit could provide many of the benefits of an electric locomotive without the railroad having to bear the sizeable expense of electrification. The unit successfully demonstrated, in switching and local freight and passenger service, on ten railroads and three industrial lines. Westinghouse Electric and Baldwin collaborated to build switching locomotives starting in 1929. However, the Great Depression curtailed demand for Westinghouse's electrical equipment, and they stopped building locomotives internally, opting to supply electrical parts instead.