Lets lay off noon tide. He/she is not asking a professional forum question, but consulting with "peers" on the human side of a business decision.
That being said however, I am sure as a consultant, you are used to being resented for your presence. I would say unequivocally as a person who runs a small business myself, do NOT get into how or why this guy is the way it is. Too much room for misinterpretation by those that don't understand, and too much cause for liability where it isn't needed.
The answer is already in your comments. He is an indian, not a chief. Nuff said.
Director must have
-Solid management charictaristics
-Flexible work schedule
-Ability to make hard decisions
He needs
-Ridgid schedule
-Is considered "weird" and is the head of HR?
-Seems to be overly "timid" when acting in a directorial role.
I think he can be moved around and his posision be tooled to be more lower middle management, while replacing him with someone more capable. He will still be in the department, still be well liked, you know he will "meekly" handle it, and you can fix what is needed.
Thoughts?