Charcoal on one side of the grill may cook it too fast. Indirect heat is a must, so you will have to find a way to partition the fire away from the meat but still allow the smoke and heat to transfer. My set up is by no means extravagant, but it's also a dual purpose set up. If I want to use it as a grill, I can. I rarely do though.
For a Boston butt, I keep my fire between 185-225 for about 8 hours, then wrap and let it go for another 4-5 hours. I don't bring the meat inside, I just keep feeding the fire and try to maintain the temperature. I like mesquite the best, hickory then oak. What you use if often determined by location and what is available. A lot of people use oak here, it's readily available, but I don't think it turns out as good.
Here's my smoker, as I said nothing special, but it's been put through its paces and is sweated in really well. A well sweated smoker plays a huge roll in the outcome of the product. By that I mean how much grease is coating the inside of the smoker. I guestimate I sent 100lbs of meat through it before it started working to my liking.
