Sacrificing an animal such as a camel or cow is recommended, and one can do so on behalf of anybody deceased or living. Giving charity to needy people instead does not replace this recommended Sunnah of the Prophet (peace be upon him and his holy progeny), but one can undertake the sacrifice and give the meat to the needy people.
It is one of the important sources that researchers refer to in order to learn about the biography of the Prophet and the Imams (peace be upon them all).
