My colleague want to see my delivered changes and his changes to be merged together.
for example: my deliver changes has following content
test1

my colleague had done some content
test2

my colleague see my incoming change and his outgoing change.
he is expecting following content to be merged and delivered.

test1
test2

what steps to be followed ?


Thanks!

Read my answer above and follow the link. Read the content about how to merge files.
If you don't understand something ask specifics and provide specifics for problems the description above is insufficient. Consider reading: How should I ask a question in the Forum if I want to receive useful answers?

In general your colleague would see an incoming conflict. He would merge the conflict and would have the options explained in https://jazz.net/library/article/39/#Example_1 and merge with the conflict compare editor. He would see the conflicting change and he would have to do something about it. He can manually merge (Figure 11: Conflict Editor is used to manually merge content conflicts) or he can resolve with his or he can resolve with the incoming.