What’s the best way to recognize employee achievements?

Bonus and recognition.

Recognition infront of broader team so he feels good doing the job and recognition in writing (bonus/appraisal letter) so that he can use it during job hopping.

Extra ₹₹₹ recognition for the month/quarter

None of the above. Dogs need to be rewarded every time they do something. Humans should not be.

An acknowledgment at the team meeting should be sufficient. They give these stick on cards, quarterly public recognition are all HR nonsense. It only builds envy among team members.