Ernie Dianastasis, Managing Director, CAI, Chairman of First State Innovation

Message from the Chairman

Since First State Innovation (FSI) was formed in 2006, it has played an important role in energizing innovative and entrepreneurial activity in Delaware and the surrounding region. Organized as a not for profit (501c3), FSI is a privately led initiative whose mission is to “Dramatically accelerate Delaware’s Entrepreneurial Economy, by connecting people, ideas and capital. While FSI has a strong Delaware focus, it understands the importance of a strong regional economy and is working with many organizations throughout the region. FSI’s primary goal is to help create an environment that makes it easy for high tech, innovative, growth oriented, and emerging companies to locate the resources that will enable them to incubate, grow or relocate to the State and surrounding region. Delaware must become a place our graduates never want to leave, and where many young entrepreneurs want to live, work, and play.

FSI has helped technology –based early stage businesses find traditional seed capital, alternative funding, skilled human capital, commercialization assistance intellectual capital guidance and other entrepreneurial resources. Over the past 5 years FSI has held and or sponsored over 25 events. Included in these events were 17 FSI Showcases where over 70 emerging companies were able to present their innovative ideas and business plans to potential investors and other resources necessary to grow and prosper. Well over 3,000 people have attended these various events. FSI also developed a following of over 1,500 “Friends of FSI”, individuals who expressed interest in innovation and entrepreneurial economy. In addition, FSI organized an informal network of Angel Investors (FSI Angels), some of whom have made investments in the over 10 companies FSI helped to launch.

All these activities are also aimed to help created a buzz about the importance of a strong entrepreneurial support structure in the State and the region. Working with DEDO, OEIP, local universities and colleges, The Delaware Tech Park, The Delaware Technology Forum and many other organizations, FSI played an important role in focusing attention on this important issue. Five years ago Delaware was ranked 50th in the nation in entrepreneurial activity, now it ranked 27th.

In addition to working with our partner organizations in Delaware, FSI has developed close relationships with the New Jersey Technology Council, the University Science Center, Select Greater Philadelphia, Maryland’s Emerging Technology Centers and other organizations in the region. This has helped to enhance the visibility and credibility of Delaware’s entrepreneurial activities within the region.

Looking forward FSI has established four priorities for the coming year to build on the foundation and momentum created over the past five years. These priorities include; 1- Create a new strategic plan for the organization, 2- Reenergize efforts to launch the FSI Angel Fund, 3- Continue FSI events and sponsorships, 4- Develop and articulate positions on public policy that benefit entrepreneurs. FSI will also continue to work to ensure that Delaware has a seat at the “regional table”. These priorities were reviewed and approved by the Board at a recent FSI Board meeting.

To create more focus to these initiatives the FSI Advisory Board has been restructured into Four Committees of the Board. Each Committee will develop specific plans that will be presented to the Board at the next scheduled meeting. The four committees are; Strategy, Funding, Events, Public Policy.

I would like to take this opportunity to thank all the members of the FSI Advisory Board for their efforts over the past five years, FSI would not have been able to accomplish all it has without their hard work and support. At this juncture the committee structure will provide an excellent platform to create more focus on FSI’s key initiatives. Many of the Advisory Board members have agreed to serve of one or more of these committees. Committee Chairs David Gates and Jim Roszkowski have also been appointed to the FSI Board of Directors.

Below is a brief description of each committee’s role.

Strategy Committee; Matt Swanson – Chair
This committee will focus on a long term strategy for FSI. It will recommend the roles FSI should play in order to have the greatest impact on growing the entrepreneurial economy in the State and the surrounding region. The strategy will be aligned with the Governor’s and DEDO’s strategy along with the major Technology Based Economic Development (TBED) organizations in the region.

Funding Committee; Jeff Rollins- Chair
This Committee will focus on closing the FSI Angel Fund. Over the past two years FSI has worked to launch Delaware’s first Angel Fund. While much progress has been made, the Fund has yet to achieve the scale necessary to launch. While many factors, including the economic downturn, have slowed the progress, we still believe an angel fund is an important element in growing the entrepreneurial economy and are committed to launch this fund in 2012. The committee will review progress to date and the current fund model and recommend a path forward. The committee will also review the showcase funding model to ensure that it is effective and coordinated with the establishment of the fund.

Events Committee; David Gates - Chair
This committee will organize and plan FSI events going forward. This will include start-up company showcases, main tent meetings and co-sponsored events. The goal is to ensure that all FSI events have the highest impact and are coordinated with other organization’s events. In addition this committee will evaluate the merits of a closer relationship with the Delaware Technology Forum to better leverage the overhead of both organizations.

Public Policy; Jim Roszkowski – Chair
Working with Federal, State and local governments, this committee will ensure that public policy (regulatory and legislative) at all levels of government encourages a strong entrepreneurial environment.

As you all know, these are challenging times for our national and local economy. While Delaware has lost some of its traditional economic base and employment remains a serious problem, much progress has been made in the last 5 years in growing the innovative and entrepreneurial economy. FSI along with many of our partner organizations have worked hard to develop a more entrepreneurial friendly environment, and we will continue to do so. While much has been accomplished there is still much to do.

I thank you for your continued support and I will continue to update you on our progress.

Ernie Dianastasis is Managing Director of CAI's Delaware Valley Operation and principal in the
Company. CAI is a global Information Technology consulting, integration and outsourcing services organization that focuses on IT productivity and has over 2,800 associates world-wide. Ernie is responsible for all CAI's operations in the Delaware Valley including Sales and Marketing, Consulting, Delivery. He has grown the CAI Delaware Valley operation from 1 to over 725 associates, making CAI the largest computer consulting firm in the Delaware Valley. He is also responsible for CAI’s business in Ohio, Michigan and oversees CAI’s operations in Shanghai, China. In addition to being founding Chairman of the First State Innovation, Ernie has been a member of The Delaware Business Roundtable since 2001 and is a former Chair. He is a member of the Delaware State Chamber Board of Directors, a member of the Council on Competitiveness and a member of the Executive Committee for Vision 2015, which is focused on making Delaware's Public Education system world class. He also serves on the Boards of Directors of the Greater Philadelphia Chamber of Commerce, the University City Science Center and the State Science Technology Institute (SSTI). Recently, he was named Chairman of the Board for Saint Edmunds Academy, an independent Catholic School School for boys in Wilmington, Delaware. Prior to joining CAI, Ernie was with the IBM Corporation. He earned a B.S. degree in Finance and an M.B.A. in Management from Lehigh University.