A "warning conflict" in `chrome://policy` indicates that multiple policy sources are trying to control the same setting. Since the browsers were previously managed by Group Policy, there's likely a conflict between the cloud policy and the local Group Policy. The best way to resolve this is to **check and configure the precedence order** of policy sources. Ensure that Cloud Policy is set to have the desired precedence over Group Policy if that's the intention. Restarting the computer might apply existing policies but won't resolve the conflict in precedence. Adjusting a "policy merge list setting" is not a standard term for resolving this type of conflict. Re-enrolling might give a fresh start but doesn't address the underlying conflict in policy sources.

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