Turn on the “Saute” function of your Instant Pot, and hit the “+” button to turn on high.
In a small bowl, combine the salt, pepper, and paprika. Cut the pork shoulder into 3 or 4 equal sized pieces, and season on all sides.
When the front of the Instant Pot reads “HOT”, add the canola oil. Sear the pieces of pork on all sides, about 3-4 minutes per side, working in batches if necessary, until the pork is browned on all sides. Remove the pork and set aside.
Add the water to the pot, scraping up any browned bits from the bottom. (Note: this is called deglazing!)
Add the sliced onion, and set the seared pork on top of the onion. Pour half of the prepared barbeque sauce over the pork and place the lid on the Instant Pot, turning the vent to the sealed position.
Set the timer for 45 minutes on high pressure using the “Manual” or “Pressure Cook” setting. It will take 10-15 minutes for the pot to come to pressure, then the 45 minute timer will begin.
Allow the pressure to release naturally for 15 minutes, then manually release the remaining pressure.
Remove from the pot and shred with two forks. Add ½ - ¾ cup of the cooking liquid to the shredded pork, and discard the rest.