This issue is most commonly identified when a merged policy file is not updated even after a polmerge is completed.
When the Active Directory estate is quite large then particularly on low memory systems polmerge.exe may not complete it's synchronisation with the DM database meaning that policies will not be updated.
The best way to resolve this is to split the polmerge process into separate OUs:
"c:\program files\managesoft\reporter\polmerge.exe" -d DC=mgs,DC=domain,DC=com -o "OU=Domain Controllers" -R
"c:\program files\managesoft\reporter\polmerge.exe" -d DC=mgs,DC=domain,DC=com -o "CN=Users" -R
Then run the nddistrb command:
"C:\Program Files\ManageSoft\Distributor\nddistrb.exe" -t Policy -a "DC=MGS,DC=DOMAIN,DC=COM" -g "Policy Replication Group" -o MergedPolicies=TRUE -o PopulateDatabase=FALSE -l "Scheduled Distribution" -o ForceDistribute=FALSE -o UseDistHierarchy=TRUE
You can run this command in the GUI by choosing not to Update the Database prior to distributing.