The driving force of German economies is attributedto the powerful position ofsmall and medium enterprises (SMEs). The shortage of skilled workers alsounderlines an emerging and resilient economy of Germany. However, the futureprospects of SMEs depend on creative employees as key actors. Nevertheless,demographic change is perceptible so that the labour integration of residentimmigrants becomes more important. But several studies investigated ethnicinequalities especially discrimination in the labour market intensifying braindrain.Diversity management offers competitive advantages.However, it is mostly amanagement tool of bigger enterprise performances.This empirical case study isbased on the research gap examining diversity activities in German SMEsconcentrating on highly qualified immigrants. It shows that diversity managementis in very little usage by SMEs so that a possibleorganizational intervention isrecommended by the integration of diversity BSC.