How to merge conflicting files under source control?

Under version 2014b, we are using the built-in SVN source control (for simple .m files so far). Let's say my colleague and I both grab a copy of a file in our sandbox, she modifies her version and commits the change. Then, if I make my own changes (in my sandbox) and try to commit my version of the file I get an error message, which is to be expected.

My problem is that "normally" I should be able to compare the two files, decide which changes to keep and then commit. However, I can't seem to find how to do this.

The following page http://www.mathworks.com/help/matlab/matlab_prog/resolve-source-control-conflicts.html#buhmfkg

describes this but basically, I never even get to the point of seeing the red exclamation mark showing a conflict (i.e. I'm stuck at point 2 in the section "Resolve Conflicts"). I've looked into every possibility under "Right-Click -> Source Control" and nothing has helped.

Should I download turtoiseSVN or is there a way to do this natively in matlab?

Thanks Philippe